Paid on top of the base salary for any employee earning over $450 in a calendar month, so immediately you need to factor in another $7600 that you need to pay out.
2. Annual Leave
Although this is built into their wage, you are effectively paying $80,000 for 48 weeks of work in the year, which means the correct annualised wage for the employee is roughly another $6738.
3. Sick Leave
In addition, you have sick leave, which is generally 10 sick days per annum, roughly another $3369.
4. Public Holidays
There are usually 13 public holidays in Australia each year, adding another $4380.
5. Compulsory Workers' Compensation
This will vary depending on the industry you’re in, but can be in excess of 15% of the total annual wages. For this example, we will use 5%, another $4000
6. Payroll Tax
Payroll tax is payable in each state when you pay over a certain threshold in wages, the threshold and percentages vary from state to state, but QLD, for example, has a threshold of $1100000 and a rate of 4.75%. Even though you may not have passed the threshold yet, if you are planning on expanding your business you may pass it in the future, and thus should account for it. This would mean another $4161.
7. Recruitment Costs
Another thing that must be considered is the cost of actually recruiting staff, on average this will cost around $8760, which includes the recruitment costs but excludes down time and training. If your staff member were to stay with you for 2 years, this would be an annualised cost of $4380.