From 1 July 2022, employers will be required to contribute a superannuation guarantee (SG) at the rate of 10.5% instead of the existing rate of 10%. You’ll need to use the new rate to calculate super on payments you make to employees on or after 1 July 2022, even if some or all of the pay period is for work done before 1 July.
In addition, from 1 July 2022, the minimum threshold of $450 per month for superannuation guarantee eligibility is also being removed so, more employees will be eligible for SG.
Employers should start planning for the implementation of the above changes so that you continue to pay the correct amount of super for your employees.
For a detailed discussion on how the above issues might affect your business, please contact Bibek Nepal, CPA at email@example.com
Disclaimer: This article is provided as general information only and does not consider your specific situation, objectives, or needs. It does not represent accounting or tax advice upon which any person may act. Implementation and suitability require a detailed analysis of your specific circumstances. Before taking any action, consider your own circumstances and seek professional advice.