Paying super

Employers have to pay super for employees each quarter.

As an employer you have to contribute super guarantee on behalf of your eligible employees at least once a quarter. Contributions are due by 28 October, 28 January, 28 April and 28 July each year.

Steps to paying super

• Calculate 9% of the earnings base for each eligible employee (generally employees who are paid $450 or more per month).
• Pay this to a complying superannuation fund at least quarterly
• Report in writing to your employees the details of the contribution you have made to their funds at least once every quarter on a payslip, letter or email. You should note amount contributed, name of fund and, if known, the employee’s account number.
• Keep a record of when, what and how you reported superannuation contributions to your employees.

You don’t have to pay super if your employee is:

• Earning less than $450 per month
• Over 70
• Under 18 and working less than 30 hours a week
• A non resident executive
• Doing domestic or private work for less than 30 hours a week
• Receiving money under the Community Development Education Programme

A super choice
Since 1 July 2005 employees have the right to choose which superannuation fund their money goes into. New eligible employees must be provided with a standard choice form within 28 days of their start date.

If you’re an employer there are 3 steps to follow to meet your choice of fund superannuation obligations:

Step 1 – Identify eligible employees
Step 2 – Provide a Standard choice form
Step 3 – Act on an employee’s choice

For more information, check out the Australian Government’s Superannuation Guide for business and the ATO’s Superannuation information for employers.