If you no longer wish to contribute to the scheme, you can apply for payment of your full entitlement.
Pro-rata payment
If you have accrued more than 1,820 service days (equivalent to 7 years full time employment) and you no longer want to contribute to the Self-Employed Contractor scheme, you can apply for a pro-rata payment.
It is important to remember that if you claim a pro-rata payment (less than 2,600 service days) and you return to the industry as an employee, you will need to accrue an additional 1,820 service days before you qualify for any further benefit from the scheme.
How many weeks of leave will be paid?
You will be paid for the amount of weeks you have accrued at the time you claim.
How much will I be paid?
If you have been registered as a Self-Employed Contractor for more than 12 months when you claim
Component | Calculation of component | Will tax be withheld? |
---|---|---|
The weeks of leave accrued as an employee | Average industry rate (calculated using the weekly pay of workers in your classification of work who received a long service leave payment in the previous financial year) | Yes, in accordance with Australian Taxation Office rules. |
The weeks of leave accrued as a Self-Employed Contractor | Total of contributions paid and interest earned for the service days used in the payment. Please note the interest component is only payable if you have accrued more than 2,600 service days. | No, however if you are paid interest this component is taxable and will be displayed on your PAYG payment summary for inclusion in your tax return |
If you have been registered as an employee within the 12 months before you claim
Component | Calculation of component | Will tax be withheld? |
---|---|---|
The weeks of leave accrued as an employee | Average of ordinary weekly earnings as an employee in the last 12 months (as recorded by us) | Yes, in accordance with ATO weekly tax table. |
The weeks of leave accrued as a Self-Employed Contractor | Total of contributions paid and interest earned for the service days used in the payment. Please note the interest component is only payable if you have accrued more than 2,600 service days. | No, however if you are paid interest, this component is taxable and will be displayed on your PAYG payment summary for inclusion in your tax return. |
How do I apply?
To make a claim, please log in to the Worker Portal and fill in the form online.
When will I be paid?
Please allow us two weeks to process your payment and deposit the funds in your bank account.
Deceased Estates
If a Self-Employed Contractor passes away, the executor or administrator can claim the entitlement on behalf of the estate. In order for us to make payment, please complete the Application for Payment of Long Service Leave to a Deceased Estate form.
Contractor Refund
If you have not accrued 1,820 service days, and you no longer wish to contribute to the scheme, you may withdraw and receive a refund of the contributions paid into the self-employed contractor scheme. You will not be paid the weeks of leave accrued as an employee, or the interest that has accrued on your contributions.