The HR/IR Solutions Guide for Small and Medium Businesses in Wollongong: Changing Superannuation Laws
The 2022-2023 Budget released earlier in the year listed many changes to the Federal Government’s economic and fiscal policy. One of the most important changes for businesses is the change in superannuation rules.
At the moment, if your employee earns less than $450 per month, you are not required to contribute to their super. Starting on the 1st of July, the Federal Government is abolishing this $450 per month eligibility threshold. You will only need to pay superannuation for workers under 18 when they work in excess of 30 hours per week.
One other major change to the superannuation scheme is the rate at which you will need to contribute to your employer’s super. At the moment you are required to contribute 10% of your employees salary to their chosen superannuation fund. Starting July 1, you will be required to contribute 10.5%.
Getting superannuation calculations wrong can be costly for yourself and your business. Failure to pay super can result in backpaying and can include penalties. It is additionally important to make sure that you are currently paying your employees correctly, in-line with the Modern Award.
