Changes to super guarantee
From 1 July 2022, two important super guarantee (SG) changes will apply to your business. These are:
- the rate of SG is increasing from 10% to 10.5%
- the $450 per month eligibility threshold for when SG is paid is being removed.
What this means for you
These changes mean that from 1 July 2022:
- you’ll need to make SG contributions at the new rate of 10.5%
- employees can be eligible for SG, regardless of how much they earn. You may have to pay SG for the first time for some or all of your employees.
What you need to do
Check that your payroll software is updated to correctly calculate your employees’ SG entitlement from 1 July 2022.
If the removal of the $450 threshold means you’ll be paying SG for one or more employees for the first time, you’ll need to give them a Standard Choice Form.
If your employee does not provide you with a choice of super fund, review the Stapled Super Fund information on the ATO website or contact Marsh & Partners for guidance on what you need to do next. A stapled super fund is an existing super account linked to an individual employee.
What else is changing from 1 July?
We’ve covered all the big changes for business and individuals in this article.
Further help:
If you are unsure about paying super to employees or how to set up your payroll software, please get in touch with our tax team and we can assist you. You can reach us on (07) 3023 4800 or at mail@marshpartners.com.au.
You can find out more about working with Marsh & Partners here. As your Absolute.Account.Ability partner we’re on a mission to make your business life better. We’ll help you set goals for your business, devise an Action Plan to make them happen and meet with you regularly to ensure you stay on track.
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