Effective from the 1st of July 2022.
In a little more than a month, two significant changes to the super guarantee will be made effective.
Employers, you will need to pay super guarantee (SG) contributions to your employees who earn less than $450.00 per month.
Employees will still need to meet a number of eligibility requirements, which are outlined below:
You must pay super for an employee aged under 18 years if:
They work for you more than 30 hours per week
You pay them $450.00 or more (before tax) in wages or salary in a calendar month.
You may also have to pay super for domestic workers or carers if the following both apply:
You have a National Disability Insurance Scheme (NDIS) plan that you manage yourself
You use your funds to hire a carer or other domestic worker.
Contractors
You must pay super for contractors if:
You pay them mainly for their labour
You pay them $450.00 or more (before tax) in a calendar month.
International workers
Your worker is eligible for super even if they are a temporary resident, such as a backpacker or a working holiday maker
If you send an Australian employee to work temporarily in another country, you must continue to pay super contributions for them in Australia.
Self employed
If you’re self employed as a sole trader or in a partnership, you do not have to pay super for yourself.
Self employed
If you’re self employed as a sole trader or in a partnership, you do not have to pay super for yourself.
High income earners who opt out of super, You do not have to pay super for high income earners working for multiple employers who ask you not to pay super guarantee to them.
Want more?
The ATO has developed a super guarantee eligibility tool which will help you work out whether you need to pay super to your workers.
Make sure your payroll and accounting systems have been updated to allow you to correctly calculate your employees’ super guarantee payments.
