Federal politicians get one free first class round the world?

[Jleno]

The art of first class

Has anyone ever come across politicians who use their "entitlement" to the equivalent of one first-class around-the-world airfare for them and their spouse in the life of each Parliament?

 

[Simsy85]

First class? not true mate.

They get a study tour, Business class. They may end up in F being the get gifted a CL membership, but F class purchase? nope...

Before people over-react - Study tour is legit. It's like if you were to do Professional Development in your job - you go on a course - they go visit another country...

 

[simongr]

Before people over-react - Study tour is legit. It's like if you were to do Professional Development in your job - you go on a course - they go visit another country...

My initial reaction to this was that not many people get overseas study trips - sure some execs get to go to Harvard but its not common practice.

 

[elbarto]

Ministers get F and J if they're taking their partner along.

 

[bismarck]

The art of first class

Has anyone ever come across politicians who use their "entitlement" to the equivalent of one first-class around-the-world airfare for them and their spouse in the life of each Parliament?

Yep, they all do. I have worked for a number of politician's who use it.

Note that there are a number of different overseas trips. There is one first class trip paid for by the Parliament, and one business class trip paid for by the Commonwealth Parliamentary Association. They also get plenty of trips paid for by companies who'd like them to see things.

Further, they are allowed to use their allowances for overseas trips as well if they choose.

Finally, they are all given CL membership, so even if they do fly J or Y they're almost always upgraded.

 

[ozmille]

reading the rest of the article there are some weird bits though... LA F class? Moet in the SYD Flounge

 

[Danger]

The entitlement of federal politicians to access overseas study travel was abolished 12 months ago tomorrow. Members and senators who accrued the entitlement prior to that date may access it. However, the entitlement was only ever for the life of the parliament meaning that once this parliament is prorogued, no one will have access to it.

 

[trentusjuventus]

FWIW, there also used to be a policy when I worked in State Government that anyone of Department Secretary level and up was entitled to use F for all work trips as well. Not sure if this is still in place, given the current economic condition of the State Government in question.

 

[Berlin]

reading the rest of the article there are some weird bits though... LA F class? Moet in the SYD Flounge

Yea- that struck me too! Could it possibly be that there's a lot of BS in an article on SMH? :shock:

 

[Jleno]

Originally Posted by Simsy85
Before people over-react - Study tour is legit. It's like if you were to do Professional Development in your job - you go on a course - they go visit another country...

My initial reaction to this was that not many people get overseas study trips - sure some execs get to go to Harvard but its not common practice.

Well when I was working past midnight the past week I did find it difficult not to over-react when I think about how just under half my pay for that work day (any every other work day) is handed over to the ATO for these expenses.

 

[RB]

Originally Posted by Simsy85
Before people over-react - Study tour is legit. It's like if you were to do Professional Development in your job - you go on a course - they go visit another country...



Well when I was working past midnight the past week I did find it difficult not to over-react when I think about how just under half my pay for that work day (any every other work day) is handed over to the ATO for these expenses.

You need to get a better accountant/financial planner

 

[medhead]

FWIW, there also used to be a policy when I worked in State Government that anyone of Department Secretary level and up was entitled to use F for all work trips as well. Not sure if this is still in place, given the current economic condition of the State Government in question.

I'm in a quasi-state government position and travel class is related to annual pay. Over $150k per annum equals business. Not sure about first.

 

[casanovawa]

Everyone loves a good public servant/politician story now and then to stir the pot...

And def get a new accountant if you're paying nearly half your wage as the top tax bracket is about 45% and that doesn't kick i till about is $140,000 or $180,000 does it???

 

[Homer]

And def get a new accountant if you're paying nearly half your wage as the top tax bracket is about 45% and that doesn't kick i till about is $140,000 or $180,000 does it???

180 but don't forget the Medicare levy plus various flood/natural disaster levies that the feds kick in every now and then. It's close enough to 50% to feel like "half"...

 

[amaroo]

You need to get a better accountant/financial planner

Just don't get sucked in with their spiel on buying into margin loans, trees, almonds, wheat & a wide range of other tax deductible schemes.

I carried the bags for SWMBO who was attending a recent conference in Vegas......nearly spat my Napa Valley Chardonnay over the other guests when the planner of the year was announced. Pity the planner receiving the award had to sell the family home to cover losses - in the very same year he was being awarded for!

 

[medhead]

180 but don't forget the Medicare levy plus various flood/natural disaster levies that the feds kick in every now and then. It's close enough to 50% to feel like "half"...

It's a shame the reality is very different (allowing 45% + 3% in levies):

[TABLE="width: 500"]
[TR]
[TD]Pay[/TD]
[TD]nominal Tax[/TD]
[TD]Percentage[/TD]
[/TR]
[TR]
[TD="align: right"]200,000[/TD]
[TD="align: right"]64147[/TD]
[TD="align: right"]32[/TD]
[/TR]
[TR]
[TD="align: right"]300,000[/TD]
[TD="align: right"]112147[/TD]
[TD="align: right"]37.3[/TD]
[/TR]
[TR]
[TD="align: right"]500,000[/TD]
[TD="align: right"]208147[/TD]
[TD="align: right"]41.6[/TD]
[/TR]
[TR]
[TD="align: right"]1,000,000[/TD]
[TD="align: right"]448147[/TD]
[TD="align: right"]44.8[/TD]
[/TR]
[TR]
[TD="align: right"]10,000,000[/TD]
[TD="align: right"]4768147[/TD]
[TD="align: right"]47.7[/TD]
[/TR]
[TR]
[TD="align: right"]100,000,000[/TD]
[TD="align: right"]47968147[/TD]
[TD="align: right"]47.9[/TD]
[/TR]
[/TABLE]

 

[Homer]

It's a shame the reality is very different

Yes, assuming you're earning $300K I can see your point that it's really nowhere near 50%. But in some people's brackets, per your table, it is very nearly 50%. I can tell you that this is the case for me and so I understand why others might feel that way too. That's all I'm saying.

 

[medhead]

Yes, assuming you're earning $300K I can see your point that it's really nowhere near 50%. But in some people's brackets, per your table, it is very nearly 50%. I can tell you that this is the case for me and so I understand why others might feel that way too. That's all I'm saying.

It can never exceed the margin rate plus whatever levies. It's asymptotic towards 48% in my table. The percentage at $200 mil is basically the same as at $100mil. 2% of $200 mil is a decent sum of money. Perhaps you could give me that 2% and then you can truly pay 50%.

Besides anyone earning in that area can afford a decent tax advisor. I would be fairly confident to say that they would not be paying as much as the nominal tax amount.

 

[Homer]

And 48% feels like "half".

 

[docjames]

reading the rest of the article there are some weird bits though... LA F class? Moet in the SYD Flounge

LA did used to have F on the A340s - deleted around 2008/2009 when the seating was upgraded.

It was pretty useless - virtually J but marginally better food in a tiny forward cabin.

So no surprise they deleted it with a J product upgrade.