The similarity in names often causes confusion. Many people search for Smart Salary and end up finding Smart.com.au from Australia. At first glance, they may look the same, but the services they offer are very different.
This article explains in detail the difference between the two: what Smart Salary (Indonesia) is, what Smart (Australia) does, how salary packaging works, and whether it is the same as EWA (Earned Wage Access) which is becoming popular in Indonesia.
What Is Smart Salary (Indonesia)?
Smart Salary is a modern HRIS and Payroll software designed specifically for companies in Indonesia. Its main focus is helping businesses manage human resources, payroll, employee benefits, and compliance with Indonesian labor regulations.
Key features of Smart Salary include:
- Automated PayrollAutomatic calculation of salaries, benefits, overtime, deductions, BPJS, and PPh 21 taxes according to Indonesian law. This reduces human error and saves HR teams significant time.
- HRIS (Human Resource Information System)A complete system to manage employee data, attendance, leave requests, overtime, and approval workflows digitally. Everything is tracked neatly, without relying on paperwork.
- SmartWallet & Earned Wage Access (EWA)A flexible feature that lets employees withdraw part of their earned salary before payday. For example, if they need emergency funds for healthcare or daily expenses, they don’t have to rely on high-interest payday loans.
- Local CompliancePayroll and tax calculations are fully aligned with Indonesian labor laws, making compliance easier for employers.
With Smart Salary, companies become more efficient while employees enjoy real benefits: timely payroll, flexible access to wages, and a better workplace experience.
What Is Smart.com.au (Australia)?
Meanwhile, Smart.com.au is one of the largest providers of salary packaging in Australia. Their focus is not on HRIS or payroll software, but on helping employees save money through tax optimization programs.
What Is Salary Packaging?
Salary packaging, also known as salary sacrifice, is an employee benefit program recognized by the Australian Tax Office. In short, employees can use part of their salary to pay for specific items before tax is deducted.
Here’s a simple example:
- Without salary packaging:Salary AUD 50,000 → tax 20% = AUD 10,000 → take-home pay AUD 40,000 → pay car lease AUD 5,000 → left with AUD 35,000.
- With salary packaging:Salary AUD 50,000 → pay car lease AUD 5,000 first → remaining AUD 45,000 → tax 20% = AUD 9,000 → take-home pay AUD 36,000.
Result: the employee pays less tax and keeps more income.
Benefits of Salary Packaging:
- Lower taxable income → less tax.
- Higher take-home pay → more net income in pocket.
- Significant potential savings → often hundreds or even thousands of dollars per year.
Services Smart.com.au Provides:
- Salary packaging provider for thousands of employees.
- Savings calculator on their website.
- Online enrollment to join the program.
- Customer support to assist employees with setup.
Salary Packaging vs Earned Wage Access (EWA)
A common question: is salary packaging the same as EWA (Earned Wage Access / Instant Salary Access)?
The answer: absolutely not.
| Aspect | Salary Packaging (Australia) | EWA / Instant Salary Access (Indonesia) |
|---|---|---|
| Purpose | Reduce taxable income by paying for items pre-tax | Give employees early access to their already-earned wages |
| Timing | Applied during monthly payroll with tax calculation | Can be accessed anytime before official payday |
| Main Benefit | Tax savings, higher take-home pay | Liquidity, emergency financial relief |
| Regulation | Approved by Australian Tax Office | Focused on employee financial wellness in Indonesia |
| Example | Car lease, laptop, or specific items paid pre-tax | Employee withdraws part of salary for hospital bills |
In short:
- Salary packaging = a long-term tax efficiency strategy.
- EWA = a short-term financial wellness solution for employees.
Case Studies: Australia vs Indonesia
Case 1: Sarah in Australia
Sarah is a nurse earning AUD 80,000 per year. With salary packaging, she can pay for hospital parking and her car lease before tax. As a result, she saves nearly AUD 3,000 annually in taxes.
Case 2: Budi in Indonesia
Budi works at a factory earning IDR 6 million per month. His child suddenly needs IDR 1.5 million for medical expenses before payday. With Smart Salary’s EWA feature, he withdraws IDR 2 million from his already-earned salary instantly-without resorting to payday loans.
Why This Difference Matters
- For companies in Indonesia: salary packaging doesn’t apply locally. Instead, solutions like Smart Salaryaddress local regulations and employee needs.
- For employees: understand that EWA is not about tax savings like salary packaging, but about giving immediate access to earned income.
- For HR and management: knowing the distinction helps design the right employee benefits for the right context.
Conclusion
- Smart Salary (Indonesia) = HRIS & Payroll software with EWA features, focused on Indonesian companies and employees.
- Smart.com.au (Australia) = salary packaging provider, focused on tax optimization for Australian employees.
- EWA ≠ Salary Packaging → both improve employee financial outcomes, but with different mechanisms and goals.
For Indonesian companies, Smart Salary is the relevant solution: handling payroll, compliance, and employee wellness programs tailored for local needs.
Simplify the busywork and focus on what matters—growing your team and your business.
