When you employ staff you need to ensure you comply with the regulations around superannuation contributions. It is important you provide your eligible employees (that is, people considered employees for super purposes) with the superannuation standard choice form which will advise you, the employer, on which complying super fund you will need to pay super contributions into. To learn more about superannuation standard choice forms, check out our article here.
Employers in Australia are legally required to pay the correct amount of super contributions (also known as super guarantee contributions) on time, that is, before or by the super due dates each quarter. It is common for businesses to pay the super contributions to their staff at the same time as they pay their salaries.
The super contribution payment is derived from an employee's ordinary time earnings, which is ordinarily the amount an employee earns from their ordinary hours of work, hence the name.
What are this year’s super due dates?
Super payment quarterly due dates
The super payment due dates are as follows:
The quarters are always the same and the payment due date is always the 28th of the following month, that is:
Quarter 1: 1 July 30 September, super payment due date 28 October
Quarter 2: 1 October 31 December, super payment due date 28 January
Quarter 3: 1 January 31 March, super payment due date 28 April
Quarter 4: 1 April - 30 June, super payment due date 28 July
When do I pay if the deadline falls on a weekend?
If the payment due date falls on a weekend or public holiday, you can pay super on the next business day without any risk of incurring a penalty.
What happens if I’m late with my super payments?
If you are late with your super payments you may end up incurring the Superannuation Guarantee Charge, which consists of government fees (including an administration fee) and interest. It is best if you are not late in making super contributions.
What are the due dates for paying the Super Guarantee Charge?
The deadline for the Super Guarantee Charge is the 28th of the month following the super due dates, that is:
What is a clearing house?
A clearing house is an intermediary which is charged with distributing super contributions to your employees' funds on your behalf.
SG contributions you make to a clearing house before the Super Guarantee Contribution due date may not necessarily reach the employee's super fund until after the due date. This is important because your employee's super contribution is only considered 'paid' on the date it is received by the super fund, not on the date that the employer paid the clearing house.
If you are concerned about missing an SG due date, or think SG contributions you have made may have been late, you should check the processing timeframe of your clearing house to ensure payments are processed prior to the payment due dates.
Due date considerations
Not all super funds require contributions to paid on a quarterly basis, some require more regular payment, such as on a monthly basis.
Even if you meet the Super Guarantee Contribution payment due dates, it does not necessarily ensure compliance with other super funds. If you are unsure whether this is the case for your employees, you should check the contractual obligations you have with the super fund, award or contract to ensure super contributions are paid on time.
If you're an employer or are considering starting your own business with the intention of employing people, you need to pay your eligible employees' super contribution payments into the relevant super fund provided by the employee when they complete the superannuation standard choice form.
Paying your employees super by the due date is important. Best practice is to pay the super guarantee contributions when you pay your staff salaries, however depending on the financial situation of your business and cashflow needs, budgeting and enveloping for the superannuation contribution payments can also be a good strategy.
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