For work bonus purposes, employment income is ordinary income that is earned, derived or received from remunerative work undertaken by a person in an employer/employee relationship or income generated from gainful work such as business earnings from self-employment that meet the personal exertion test. It includes salary, wages, commissions and employment related fringe benefits.

The following payments are excluded from the definition of employment income:

  • superannuation payments,
  • payments of compensation or payments under an insurance scheme relating to a person's inability to earn, derive or receive employment from remunerative work,
  • termination payments,
  • comparable foreign pension payments, and
  • leave payments to persons no longer involved in remunerative work.