Frequently asked questions for Self-Employed Contractors about portable long service leave.
You can register as a Self-Employed Contractor through the Worker Portal. Please allow us a couple of weeks to process your application.
If you pay all invoices issued, you will be credited with 12 Months of service per financial year.
You will accrue 1.3 weeks of leave for each 12 Months of service accrued.
You can log into your Worker Portal any time to check your service and leave balances.
We cannot give you advice on the deductibility or otherwise of the contributions and encourage you to seek independent tax advice. Generally speaking, the contributions are not tax deductible. When you claim long service leave, tax will not be withheld from the contributions you have paid into the scheme (they are simply refunded to you).
Claims are made online through your Worker Portal.
Payment for the leave accrued as an employee will be paid at your average weekly rate of pay for the last 3 years you were registered as a worker.
Payment for the leave accrued as a Self-Employed Contractor are calculated from the contributions paid into the scheme, plus the accrued interest. Please note the interest component is only payable if you have accrued more than 84 Months of service.
Tax will be withheld from the long service leave accrued as an employee. Tax will not be withheld from the contributions paid into the Self-Employed Contractor Scheme or the accrued interest, however the interest amount is taxable and will be displayed on your PAYG summary for inclusion in your tax return.
We hope you can take a break to relax and recharge, but you can also continue to work during your period of leave. Alternatively, you may choose to claim a cash-out payment.
You can stop recording service with this scheme for up to 2 years (if you have less than 60 Months of service) or up to 3 years (if you have more than 60 Months but less than 84 Months of service). If you do not record service within this timeframe, your Months of service will be cancelled. You may apply for a refund of the Self-Employed Contractor contributions paid into the scheme, but you will not receive payment for the leave accrued as an employee.
If they are performing community services work you will need to register in the scheme as an employer. Please complete the Employer Registration application form online.
If you would like to continue making contributions, you will need to register in the scheme as a Working Director. Please complete the Employer Registration application form online, and then a Working Director application through your Worker Portal.
If you are working in the community services sector you will need to contact the portable long service lave scheme in that State or Territory to check that you can be registered (as not all have Self-Employed Contractor schemes). Information regarding interstate service can be viewed here.
Please ensure that your new employer registers you with the scheme so your Months of service can continue to accrue.
Yes, each year you will be able to log in to view a service statement that shows the Months of service accrued and your current leave entitlement, as well as a statement showing the payments made into the Self-Employed Contractor scheme.