You generally have to pay the Super Guarantee (SG) into a complying super fund for employees who are:
You need to pay super for employees who are temporary residents of Australia or are Australian residents working overseas and satisfy any of the above criteria.
If you run your business through a company, you also need to pay super for directors of the company who receive salary, wages or director’s fees.
You need to pay at least 10.5% (the FY22/23 Super Guarantee rate) of your employee’s ordinary time earnings in super.
Ordinary time earnings (OTE) are generally the amount an employee earns for ordinary hours of work. It includes payments like commissions, allowances and certain bonuses but excludes overtime. You do not usually need to pay Super Guarantee (SG) on the amount of an employee’s OTE that is above the maximum super contribution base ($60,220 per quarter for 2022/23, indexed annually).
Some employees are covered by awards or employment agreements that require you to pay super above the SG rate (10.5% (FY 2022/23).
For more information about your super obligations visit the ATO website.
You may not have to pay super for employees who are:
For more information on which employees you need to pay super for, visit the ATO website.
You need to pay at least 10.5% (FY 2022/23) of your employee’s ordinary time earnings in super.
An employee’s ordinary time earnings (OTE)* generally includes:
Generally OTE does not include overtime payments unless there is a specific agreement between you and the employee.
You do not usually need to pay Super Guarantee (SG) on the amount of an employee’s OTE that is above the maximum super contribution base ($60,220 per quarter for 2022/23, indexed annually).
You may still choose to pay 10.5% on this amount however, it is not compulsory unless required under an agreement between you and the employee, such as an employment contract or a salary sacrifice agreement.
You must pay the required SG contributions for your employees at least quarterly by the relevant cut-off date (shown in the table below). You can choose to pay SG more regularly than this, such as fortnightly or monthly.
|SG for OTE earned between:||Must be paid by:|
|1 January and 31 March||28 April|
|1 April and 30 June||28 July|
|1 July and 30 September||28 October|
|1 October and 31 December||28 January|
For more information about your SG obligations, visit the ATO website.
If you don’t meet your SG obligations, you will be required to lodge a Superannuation guarantee charge statement – quarterly form and pay a Superannuation Guarantee Charge (SGC) to the ATO. You may also lose the tax deductions you would usually be able to claim for making super contributions.
You will generally have to pay the SGC if you:
If you have paid SG contributions for your employees after the cut-off date you may be able to use the late payment as an offset to reduce the amount of SGC you have to pay.
For more information about what happens if you don’t meet your SG obligations, visit ato.gov.au.
There are three different ways to make contributions through QuickSuper:
1. Contribute using an online e-form
This option suits employers making contributions for less than 40 members. Simply enter the contribution amounts in the screen next to the name of your employee.
2. Contribute using the standard QuickSuper
This option is best suited if you have more than 40 employees that are members of your BT Super plan as you can upload payment details from your existing systems into a spreadsheet.
3. Use your own payroll file
If you have your own payroll system, you can use it to upload contributions. You will need to register your payroll file with QuickSuper if you have not previously done so, or if your payroll file has changed since you last registered it with QuickSuper.
Employees who wish to organise contributions from their before-tax salary (called salary sacrifice) must complete the Payroll Deduction Authority form for you to process.
Your employees can set up a BT Super account for their spouses, into which both partners can make after-tax contributions. Spouses can also apply for insurance cover and have access to the broad range of investment options.
You can make voluntary contributions that are in addition to any award or Super Guarantee (SG) requirements. However, you should consider that there are limits (known as ‘caps’) that apply to individuals when making additional contributions to super. Contributions exceeding these caps may have additional tax and charges applied to them. There are caps for both concessional (before-tax) contributions and non-concessional contributions.
Things you should know
This information is current as at 1 July 2022.
Fund details for BT Super
Fund - Retirement Wrap USI BTA0287AU RSE R1001327 ABN 39 827 542 991. Trustee - BT Funds Management Limited ABN 63 002 916 458 AFSL No. 233724 RSE No. L0001090.
BTFM is the trustee and the issuer of interests in BT Super, which is part of Retirement Wrap. A Product Disclosure Statement (PDS) is available for BT Super and can be obtained by calling 1300 553 010 or visiting www.bt.com.au. You should obtain and consider the PDS before deciding whether to acquire, continue to hold or dispose of interests in BT Super.
BTFM is a subsidiary of Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714 (Westpac). Unless otherwise disclosed in the offer document for the relevant financial product an investment in BT Super is not an investment in, deposit with or any other liability of Westpac or any other company in the Westpac Group. It is subject to investment risk, including possible delays in repayment and loss of income and principal invested. Westpac and its related entities do not stand behind or otherwise guarantee the capital value or investment performance of the specific investments you select or the account generally.
BT has not reviewed any awards or other industrial instruments or agreements that are, or may become relevant to your employees. BT Super may not satisfy your obligations under any such award or industrial instrument or agreement. Before making a decision about BT Super, we recommend that you seek legal advice on its appropriateness, having regard to the requirements of any awards or other industrial instruments or agreements that are, or may become applicable.
The information provided is factual only and does not constitute financial product advice. Before acting on it, you should seek independent financial and tax advice about its appropriateness to your objectives, financial situation and needs. The information is current as at 1 July 2021 and provides an overview or summary only and it should not be considered a comprehensive statement on any matter or relied upon as such.
QuickSuper is issued by Westpac Banking Corporation (ABN 33 007 457 141, AFSL233714). An offer to issue this product may be made to you by Westpac, subject to completion of the application process. The Product Disclosure Statement (PDS) for QuickSuper is available on the Westpac website. You should consider the PDS before deciding to accept any offer made by Westpac to issue the product.