HR Glossary

Advance pay refers to a service that enables Australian workers to access a portion of their earned wages before their scheduled payday.

The Aged Care Industry Award is a set of rules that outline the minimum employment conditions for workers in the Aged Care industry in Australia.

Annual leave loading is an additional payment that certain employees may be entitled to receive when they take their annual leave. It is not compulsory for all employees, and eligibility for annual leave loading depends on the specific award, agreement, or workplace arrangement that covers the employee's employment.

The Pilots Award comprises yearly wages. An hourly rate's computation is dependent on the nature of the job.

The ATO (Australian Taxation Office) weekly tax table is used by employers and payroll systems to calculate the amount of tax to be withheld from employees' wages each pay period.

The Australian Business Number (ABN) is a unique 11-digit identifier that is issued by...

Award Transport Payments (AD) are deductible expense allowances provided to employees for business-related transportation costs.

Awards(Modern Awards) are legal documents that outline the minimum pay rates and conditions of employment.

Award rates are the minimum wages, benefits, and terms that are applicable to the majority of workers in a given sector or profession.

Back pay refers to any form of the unpaid financial compensation that the company owes the employee. It resolves any differences between employees and their employers, as well as what the employer was required to pay according to the minimum wage and overwork regulations.

BPAY is a bill payment service that offers a convenient and secure method to manage your bill payments directly through your online banking, allowing you to stay in control of your finances with ease.

The Building and Construction Award is an industrial award in Australia that sets out the minimum terms and conditions of employment for workers in the building and construction industry, including tradespeople, labourers, and apprentices.

The Business Activity Statement (BAS) is a tax reporting statement that businesses in Australia use to report and pay goods and services tax (GST), pay as you go (PAYG) installments, withholding tax, and other tax obligations.

A casual employee is someone who accepts a job offer from an employer without a firm advance commitment to ongoing work with an agreed pattern of work.

Casual loading refers to an additional payment that is made to casual workers on top of their regular hourly wage. It is provided as compensation for the fact that casual employees do not receive the same entitlements as permanent employees, such as paid annual leave or sick leave.

"Cents per Kilometre" refers to a deductible expense allowance that defines a set rate for each kilometre travelled for business purposes.

The Children's Services Award is a legal regulation in Australia that outlines the minimum standards for pay, working hours, leave entitlements, and other related matters that apply to employers and employees in the childcare industry.

The Cleaning Award is a set of rules that outline the minimum employment conditions for employers and employees in the contract Cleaning Services industry in Australia.

The Clerks Award refers to the modern award known as the "Clerks - Private Sector Award 2020" in Australia. It is an industrial instrument that sets out the minimum terms and conditions of employment for clerical employees working in the private sector.

Compassionate leave, also referred to as bereavement leave, is a form of paid time...

A Digital Service Provider (DSP) refers to a company or organization that delivers digital services over the internet or through various digital channels.

The allowances for domestic or overseas ...

Employment contracts in Australia are legally binding agreements between employers and employees that outline the terms and conditions of their working relationship.

For tax reasons, a 12-month period is known as the financial year. The Australian financial year runs from July 1st to June 30th of the following year.

The Fast Food Industry Award is a set of rules that outline the minimum employment conditions for workers in the fast food industry in Australia.

The Fitness Industry Award is a specific modern award that governs the employment conditions, wages, and entitlements for employees working in the fitness industry. It sets out the minimum standards for various roles within the industry, including fitness instructors, personal trainers, gym attendants, and administrative staff.

The Food, Beverage, and Tobacco Manufacturing Award is a legal...

Full time generally refers to employees who work an average of 38 hours per week. These individuals are typically employed on a permanent basis or on a fixed-term contract.

Gross pay refers to the total amount of money an employee earns before any deductions, taxes, or withholdings are taken out. It includes all forms of compensation, such as hourly wages, salary, bonuses, and overtime pay.

The Hair and Beauty Industry Award is a set of minimum employment standards that...

The health professional and support services award is a set of rules that outline...

The Hospitality Award is a crucial legal regulation in Australia that outlines the minimum standards for pay, working hours, leave entitlements, and other related matters that apply to employers and employees in the hospitality industry.

An HRMS system, or Human Resource Management System, refers to refers to...

Junior pay rates refer to wage or hourly rates of pay that are specifically designed for young workers, typically those who are under a certain age (under 21 years old), and who may have less work experience or training than their older counterparts.

A laundry allowance((allowance type LD))is an allowance provided to employees for the purpose of washing, drying, and/or ironing uniforms that are required for business purposes.

The Legal Services Award applies to employees who work in legal practices, including law firms, barristers' chambers, and corporate legal departments. It covers a range of roles within these organisations, including lawyers, paralegals, legal secretaries, and administrative staff.

A lump sum payment is a single large payment made in a one-time, all-at-once manner instead of smaller, periodic payments over time. It is often used for various purposes, such as settling a debt, purchasing an expensive item or asset, receiving an inheritance, or receiving a settlement or compensation.

A lump sum payment is a one-time payment that is taxed and reported differently to your salary and wage income.

Lump Sum B covers long service leave accrued before 16 August, 1978, which is paid out upon termination, irrespective of the reason for termination

Lump sum D represents the tax-free amount of only a genuine redundancy payment or approved early retirement scheme payment, up to the tax-free limit, based on the employee’s complete years of service, for an employee up to their age-pension age.

The lump sum E threshold value is AU$1,200, and the lump sum E reflects the amount for back pay of compensation that accumulated or was payable more than 12 months prior to the date of actual payment.

The manufacturing award is a modern award that sets out the minimum terms and conditions of employment for employees working in the manufacturing industry in Australia.

The maximum super contribution, specifically the concessional contribution, is $27,500 per financial year in Australia. This includes

The National Employment Standards (NES) are 11 minimum employment entitlements that...

The Nurses Award is a standard of pay that sets out the minimum pay rates, conditions, and entitlements for nurses in Australia.

Ordinary hours refer to the standard or regular working hours that are agreed upon in various employment agreements and regulations.

Ordinary pay rate refers to the amount of money an employee receives for the hours they work at their normal rate of pay, excluding any additional payments for overtime.

Ordinary Time Earnings (OTE) represent the standard earnings an employee receives for their ordinary hours of work, excluding certain additional payments such as overtime, bonuses, and allowances.

Other allowances (allowance type OD) are additional allowances provided to employees that are not specifically itemised or categorised separately. These allowances can include various types of expenses that may be deductible or non-deductible for tax purposes.

Overtime refers to the additional hours worked by an employee beyond their ordinary or agreed-upon working hours. These extra hours are typically compensated at higher rates than ordinary hours to acknowledge the employee's additional effort and time commitment.

Overtime Meal Allowance refers to a deductible expense allowance provided to employees for meals consumed during meal breaks connected with overtime work. Learn the reporting requirements and exemptions for this allowance type.

Part time refers to working fewer hours per week compared to full time employees. According to the Fair Work Commission, part time employees typically work less than 38 hours per week and generally have regular weekly schedules.

PAYG stands for "Pay As You Go." It is an acronym for two distinct procedures that the Australian Tax Office (ATO) has systematised for Australian businesses: PAYG withholding and PAYG instalments..

Payroll tax is a self-assessed tax on the wages that employers pay to their employees when the total wages are more than a certain threshold.

The Pharmacy Award is an important legal regulation in Australia that sets minimum standards for pay, working hours, leave entitlements, and related matters for employers and employees in the pharmacy industry.

Award rates are the minimum wages, benefits, and terms that are applicable to the majority of workers in a given sector or profession. They are included in contemporary awards and are determined by the Fair Work Commission.

The Professional Employees Award is an industrial award that sets out the...

Personal leave, also known as carer's leave or personal/carer's leave entitlement, is a type of leave provided under Australian employment law.

The Qualifications allowance, also known as allowance type QN (Qualifications/Certificates), refers to a specific type of allowance provided to individuals for the purpose of supporting the expenses associated with maintaining their qualifications.

In Australia, redundancy payment is a financial compensation that is given to employees who are made redundant from their jobs.

The registered and licensed clubs award is a set of rules that outline the minimum...

Reportable fringe benefits are certain benefits provided by an employer to an employee that must be reported to tax authorities. They have a taxable value exceeding $2,000 in a fringe benefits tax (FBT) year.

The restaurant award covers a broad range of restaurant businesses and sets out the minimum rates of pay, penalty rates, and allowances for employees, as well as their entitlements to breaks, leave, and other benefits.

The retail award is a modern award that sets out the minimum terms and conditions of employment for employees working in the retail industry in Australia.

The road transport and distribution award is a set of rules that outline the minimum...

A rostered day off (RDO) is a day in a roster period that an employee doesn't have to work.

Salary and wages are forms of compensation paid by employers to employees in exchange for their work. Salary is typically an annual amount agreed upon between the employer and employee, while wages are usually based on an hourly or daily rate.

The SCHADS Award is the main industry award for social work and disability services in Australia. It sets out the minimum pay rates for workers in these sectors, including base rates, overtime and penalty rates, and allowances.

The primary industry award for social work and disability services is the SCHADS award. It specifies the minimum pay for social and community services as well as jobs related to disability services. Base rates, overtime, penalty rates, and allowances are all included in this.

Sick and carer's leave, also known as personal leave or personal/carer's leave, is an entitlement included in the National Employment Standards (NES)

The storage services and wholesale industry means the receiving, handling, storing...

How to calculate your superannuation？Superannuation payment = Employee's ordinary time earnings (OTE) x SG rate (currently 11%).

The minimal amount of super that your employer is legally required to pay to your super is known as the superannuation guarantee rate, or SG rate. The superannuation rate will be 11% of your regular time wages as of July 1, 2023.

Task allowances, also known as KN (Task) allowances, are a type of allowance paid to employees to compensate them for specific tasks or activities that involve additional responsibilities, inconvenience, or efforts beyond their base rate of pay.

The purpose of the tax file declaration form is to provide your tax file number (TFN) to your payer, such as your employer or other entities making payments to you.

A Tax File Number (TFN) is a unique 9-digit number issued by the Australian Taxation Office (ATO) to individuals and organisations for tax purposes.

Termination of employment refers to the severance of an employee's relationship with their employer. This can occur for a variety of reasons, including resignation, retirement, layoff, or dismissal.

Time in Lieu, also known as TIL, is a practice in Australia where employees can take time off in place of receiving overtime pay. If employees work beyond their regular hours, they can accumulate additional time off, which can be used at a later date.

A timesheet is a document or digital record that allows employees to log and track the time they spend on various tasks, projects, or activities.

The tool allowance in Australia refers to a specific type of allowance provided to individuals who are required to provide their own tools or equipment to perform their work or services for an employer. This allowance is reported as "tool allowances" with the allowance type TD (Tool Allowances).

Penalty rates are higher pay rates that employees need to be paid for working particular hours or days.Employees may be entitled to a penalty rate when working:

Year to date (YTD) refers to the entirety of the year, from its inception to the present. It can be used with either fiscal or calendar years. Your fiscal year may not always start on January 1st, but regardless of the dates, YTD refers to the first day of the relevant year through the calculation day.