|Are your payroll systems ready for the Super Guarantee rise on 1 July 2022?
From July 1 2022, the Super Guarantee is increasing to 10.5%. It will continue to increase by 0.5% on the first of July each year until it reaches 12% in 2025.
In addition, the Australian Government is removing the $450 per month threshold to expand coverage of super guarantee to eligible employees regardless of their monthly pay.
From 1 July 2022, employers will be required to make super guarantee contributions to their eligible employee’s super fund regardless of how much the employee is paid. Employees must still satisfy other super guarantee eligibility requirements.
Now is the time to check your payroll and accounting systems to ensure correct super payments made after 1 July 2022. If you need more support in correctly calculating your employee’s super guarantee entitlement, please do not hesitate to reach out to us. The consequences for incorrect super payments can be expensive!