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Hiring your own support workers
Advice for you
Legal and Technical advice for people engaging their own supports
There are legal and regulatory implications that need to be considered and understood if you want to employ or engage your own support workers.
There are five main areas to think about:
WAiS has been working with KPMG and Capital Legal to understand the Industrial, Tax and other legal obligations of people who self-manage.
Together with KPMG, we applied for two separate Private Binding Rulings to the Tax department in July 2013. We wanted to make sure the income tax and superannuation obligations for someone employing their own supports were clear. These rulings came through in April 2014.
In late 2014 WAiS applied for another Private Binding Ruling. We wanted to find out whether payments paid to a support person in a co-residency arrangement by an individual – where the support person lives in the home of the person with disability – are seen as income. This ruling came through in June 2016.
We have information for our members about these rulings and other advice we received.
WAiS has also received information from the ATO about a private binding ruling. We wanted to find out whether income is assessable or not from the point of view of the support person. The facts in this case are where the support person lives in the home of the person with disability.
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Private Ruling 2013: privately engaging worker
Private Ruling 2014: privately engaging worker
Private Ruling 2016: co-residency
Extract of Letter to Supporter from ATO regarding tax assessability of income
KPMG Advice: Extract of advice from KPMG to WAiS in relation to use of Statement by Supplier
Statement By Supplier Advice Extract
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Hiring your own support workers
Advice for you
If you decide to hire your own support workers, the law says you have some important responsibilities – things you need to do.
There are 5 main areas you need to think about:
- Industrial Relations – working together with your support workers to make sure they have a workplace that is:
- safe
- fair
- productive.
- Taxation – paying income tax to the government.
- Superannuation – adding to your support workers’ retirement savings.
- Workers’ Compensation – insurance in case a support worker gets injured at work.
- Health and Safety – making sure everyone is safe at work.
Understanding the law
Understanding the law is important because you need to know what’s expected of you when you hire your own support workers.
We have worked with KPMG and Capital Legal to make sure your responsibilities are:
- clear
- easy to understand.
If you are a member, you can log in and read more information.
This information wasn't written in Easy Read though.
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Private Ruling 2013: privately engaging worker
Private Ruling 2014: privately engaging worker
Private Ruling 2016: co-residency
Extract of Letter to Supporter from ATO regarding tax assessability of income
KPMG Advice: Extract of advice from KPMG to WAiS in relation to use of Statement by Supplier
Statement By Supplier Advice Extract
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