Super responsibilities for employers

Paying super is an important part of your responsibilities as an employer with your contributions forming an essential part of your employee’s retirement savings. And AustralianSuper is here to help. 

Do you need to pay super?

Employers are generally required to pay super guarantee (SG) contributions for employees who:

  • Are paid $450 or more (before tax) in a calendar month
  • Are aged 18 years or over (or under 18 and work at least 30 hours per week)
  • Are employed on a full-time, part-time or casual basis (including those who are working in Australia temporarily).

You can use this ATO tool to work out if an employee is eligible for SG contributions.

When is super due?

You’re required to pay super for eligible employees from the day they start their employment by quarterly due dates.

Quarterly Superannuation Guarantee (SG) due dates

SG quarter Date payment due
1 July - 30 September 28 October
1 October - 31 December 28 January
1 January - 31 March 28 April
 1 April - 30 June 28 July

Employers who don’t make the minimum super guarantee contributions required on behalf of eligible employees risk having to pay the Super Guarantee Charge (SGC), a charge imposed under the Superannuation Guarantee (Administration) Act 1992. The charge is made up of the super guarantee that’s owed, interest on the outstanding amount and an administration fee. Paying super on time also means you can claim the payments as a tax deduction. and avoid late penalties.

Five steps to managing super payments

1. Choose a default super fund  

You’re legally required to have choose a super fund for your business to pay employee’s super into if they don’t tell you their choice of super fund. This is called your default super fund. 

Before you join, run a comparison to find the best fund for your business.

Compare funds

HOW TO CHOOSE AUSTRALIANSUPER

 

2. Use an electronic payment system to pay super   

Under the Government’s SuperStream standards, businesses need to make super contributions electronically and in a standard format. 

AustralianSuper employers have access to QuickSuper*, a free clearing house that offers participating employers a secure online payment solution.

Sign up to QuickSuper

 

3. How much super to pay

Your super payments – called Super Guarantee contributions - must be paid into a complying super fund at the rate of 9.5% of your employee’s ordinary time earnings. These are before-tax earnings based on an employee's ordinary hours of work, and generally exclude overtime.

Learn more

4. Give your employees a choice of super fund

Employers are required to offer eligible employees their choice of super fund. Simply download and provide them with a Standard Choice form, prefilled with the details of your default super fund, within 28 days of their start date. If the employee doesn’t choose their own super fund, or give you the information you need, you must pay their super contributions into your default super fund by the due date.

DOWNLOAD STANDARD CHOICE FORM

5. Provide Tax File Numbers (TFNs) for your employees

Once your employee gives you their tax file number (TFN), you must pass it on to AustralianSuper within 14 days of the employee giving you the form or when you make the first SG contribution on their behalf. You may be fined $2,100 if you’re late providing an employee’s TFN.

Frequently asked questions

*QuickSuper is a registered trademark and a product owned and operated by Westpac Banking Corporation ABN 33 007 457 141. Westpac’s terms and conditions applicable to the QuickSuper service are available after your eligibility for the free clearing house service is assessed by AustralianSuper. A Product Disclosure Statement (PDS) is available from Westpac upon request. AustralianSuper doesn’t accept liability for any loss or damage caused by use of the QuickSuper service and doesn’t receive any commissions from Westpac if employers use this service. You can choose to make your contributions using a different service, but it needs to meet the government’s minimum data standards as legislated in Stronger Super reforms. To learn more about Stronger Super visit australiansuper.com/StrongerSuper or visit ato.gov.au
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