Employer contributions are super payments you make for your employees. These can include Superannuation Guarantee (SG) contributions, super contributions required under an Industrial Award or Agreement and any salary sacrifice contributions requested by your employee.
As an employer, you are required to pay a minimum of 9.5% of Ordinary Time Earnings (OTE) for an employee (over age 18 who earns more than $450 per month) as Superannuation Guarantee (SG) contributions.
You may also have to make contributions for an employee under the Award or Industrial Agreement that your employee works under.
If you provide your employees with the option to salary sacrifice some of their income, these contributions also need to be paid to the employee’s super fund.
Find out more in our Employers Guide
All employers please note, to ensure contributions are shown on members’ 30 June benefit statements, contributions to default fund members must be remitted and paid by 3:00pm (EST) on 26 June. This date allows adequate processing time for contributions to be received and allocated to members of the fund.
If you are remitting contributions for choice funds, we recommend that you aim to authorise payments by 3:00pm (EST) on 16 June. This timing allows for the allocation of contributions to choice funds by 30 June.
If either 16 June or 26 June fall on a weekend, please ensure contributions are remitted and paid prior to 3:00pm on the following business day.
Please note: Any contributions remitted or paid after the deadlines stated above may result in the contributions being applied to member accounts in the following financial year. We recommend contacting us for further information if you have any questions.
In addition, employers are obligated to make payments for each quarterly period by the below final payments dates, as specified by the ATO:
|1||1st July – 30th September||28th October|
|2||1st October – 31st December||28th January|
|3||1st January – 31st March||28th April|
|4||1st April – 30th June||28th July|
It’s crucial to pay the correct amount of super by the cut-off date each quarter to avoid paying the Superannuation guarantee charge to the Tax Office.
You can choose to make super payments more regularly than quarterly. For example fortnightly or monthly, so long as the total amount you owe each quarter is paid by the quarterly cut-off dates.
If an important date falls on a weekend or public holiday, you should make the payment by the next working day.