Dollhairs & Sense #4
🤷 Why is half my pay being taken? and money myths busted 💥
Salut! 🕖 7:00am ers (or whenever you’re reading this!)
It’s always a big week, so let’s get right into it. Dollhairs & Sense (dollars & cents!) is going to look like this:
📍Brief summary of what’s happened this week
📚Point of interest for the week (if applicable)
🙋Student questions for the week (probably a question you’ve wanted to ask yourself)
1️⃣One money thing you/we/me/I can do this week
Are you ready? 👇🏻
📍Since last time, in summary
We’re already 20.22% through 2024…. crazy right ⏰
Travelled up and back to Melbourne ✈️
Booked our first school in Perth, WA for later this year (super exciting!)
📚POI (Point of Interest)
💥Money myths busted:
“I don’t need to do a tax return because I’m under 18”
“I don’t need to do a tax return because I haven’t paid any tax”
“I don’t need to do a tax return because I’m not working there anymore”
These are all incorrect. Over the last few weeks these questions have been coming up a lot. If you have ever had a job, even if it was for 1 week, you will need to lodge a tax return for that financial year. It’s free, easy to-do and in the coming weeks we’ll go through it step-by-step (ps. you might even be owed some money! 😎
🙋Questions Unlocked
🔐Q:
“Why is half of my pay being taken by my employer?”
Year 11 Student (In person)
🔓A: If you haven’t provided your employer with your Tax File Number (see more on how to get your TFN here), you are taxed at the highest marginal tax rate which is 47% 🤯 there’s good news and bad news:
The good news: The money you have paid in tax will be waiting for you at the ATO 💰in order to get your money back you will need to lodge your tax return. The current financial year (FY24) ends on the 30th June.
The bad news: Until you provide your employer with your TFN, they will continue to tax you at 47%. That means you need to get your TFN and give it to your employer as soon as possible!
1️⃣One money thing we can all do
If you haven’t already ➡️ check out our previous money tasks:
Money Task #1 (Payslips)
Money Task #2 (Checking your bank account)
Money Task #3 (Free $50 - see how?!)
For this week, Money Task #4 💰:
Apply for your Tax File Number
It’s free, you will need to do it and if you have a job you definitely need one to lodge your tax return. It’s simply, easy and something everyone has to have.
Following on from last time, you can get your TFN in 2 ways (both are free and work the same):
1. Option 1: Online with your passport - see link here
2. Option 2: Complete this online form and take it to your local Australia Post with ID. They will process it for you and you’ll receive a letter from the ATO with your TFN. You can complete the form here
If you do your application online, you will recieve your TFN instantly. If you do your TFN at the post office, it takes 2-3 weeks to be delivered to you in the mail ✉️