What is an SG statement?
If you miss making a super guarantee payment on time and to the right fund, you meet legal obligations by lodging an SGC statement by the due date and paying the SGC to us. The superannuation guarantee charge is made up of: any choice liability, based on the shortfall and capped at $500.
Who is eligible for SG?
Who’s eligible for the super guarantee? Generally, you’re eligible for SG contributions if you’re earning at least $450 before tax a month, regardless of whether you’re a full-time, part-time or casual employee, including if you’re a temporary resident.
What is the current SG rate?
What is the current Superannuation Guarantee rate? The percentage rate for superannuation guarantee payments by your employer is currently 10.0%. The SG increased from 9.5% to 10% from 1 July 2021 and is set to rise again to 10.5% from 1 July 2022 for the 2022–23 financial year.
What does employer SG mean?
Superannuation is money you pay eligible workers to provide for their retirement. Super guarantee (SG) is the minimum amount you must pay to avoid the super guarantee charge. Super guarantee is 10% of an employee’s ordinary time earnings.
How do you work out SG shortfall?
Remember, the super guarantee shortfall is calculated using salary and wages, not ordinary time earnings. The calculation is: Salary and wages × current super guarantee rate. The example below is based on the super guarantee rate for the financial year in which the employee was paid.
What is SG shortfall?
SG shortfall amount (including any choice liability), which is when you do not pay the full SG contribution for your employee. It is calculated using your employee’s salary or wages (not their ordinary time earnings) Interest on this amount,with thecurrent interest rate being 10%.
What is the new superannuation rate for 2021?
On 1 July 2021, the super guarantee (SG) rate will rise from 9.5% to 10%.
Who can do salary sacrifice?
Many employers provide salary sacrifice through a specialist salary packaging provider. It is generally most effective for people on mid-to-high incomes but can be considered by anyone who pays tax – that is, if you earn over the tax-free threshold of $18,200 a year.
What is base salary superannuation?
Base salary is the annual earnings before tax, minus compulsory superannuation and additional benefits.
Can an employer pay more than 9.5% super?
If you as an employer contribute more than the the ATO’s compulsory super guarantee rate, this is called employer additional super. It’s a tricky area because some employer additional superannuation contributions need to be reported to the ATO (known as reportable employer super contributions RESC).
What is the maximum you can have in superannuation?
Super pension cap of $1.6m: The maximum amount of superannuation that can be used to fund a tax-free pension in retirement is now restricted to a ‘transfer balance cap’ of $1.6 million per individual.
How far back can you claim unpaid super?
Typically, you can make unpaid superannuation claims for contributions from the last five years, which is the period employers are required to maintain super contributions records. However, you may be able to claim unpaid super contributions from more than five years ago if you can provide the necessary documentation.
Who can use the SG eligibility decision tool?
Who can use the SG eligibility decision tool Press right to expand, left to close. This decision tool helps determine if your employees are eligible for super guarantee (SG), including any contractors treated as employees for super purposes.
How does the Super Guarantee (SG) contributions calculator work?
The Super guarantee (SG) contributions calculator tool helps you work out the superannuation guarantee amount to pay to your employee’s super fund. It will help you work out the SG sub-totals of each individual superannuation fund and the total of all contributions payable. The calculator doesn’t calculate nominal interest.
What is a superannuation guarantee eligibility decision tool?
Superannuation guarantee eligibility decision tool This decision tool helps determine if your employees are eligible for super guarantee (SG), including any contractors treated as employees for super purposes. You will be asked questions about the nature of the work arrangement between your business and the worker.
How do I calculate my SG contributions?
Employers Employers can use the calculator tool to calculate SG contributions. Using the drop-down box on the first screen, you can select to apply the minimum SG rate or increase the rate based on the arrangement you have with your employees.