Superannuation rules and regulations change frequently – every Federal Budget it seems, includes yet another raft of changes that employers need to be on top of. Fortunately for our employer clients we’re here to help, with employer briefings, updates and one-on-one assistance from our smartPartners.

From 1 July 2024, generally, employers must pay the superannuation guarantee (SG) minimum of 11.5% of an employee’s ordinary time earnings. There are some exceptions, for example, if your employee is under 18 or is a private or domestic worker (such as a nanny), SG payments are to be made only for those weeks they work for more than 30 hours. Also, you may have to pay SG for some contractors, even if they quote an Australian Business Number (ABN). SG needs to be paid at least quarterly.

For help in determining if your employees are eligible for SG, talk to your smartPartner or check out the ATO’s Superannuation Guarantee Decision Tool.

Employers are required to use a SuperStream-compliant online automated payment system, or clearing house, to pay super to employees. We offer access to the QuickSuper^{*^} clearing house which will make short work of your super payments. If you’re eligible^* and set up to use the service, super payments can literally be done with a single transaction, whether you’re paying to smartMonday as your nominated ‘default’ super fund, or any other super fund your employees belong to.

* To be eligible to use QuickSuper, your employer plan should have a minimum of 20 members. If your plan has fewer than 20 members, you should consider using ATO’s Small Business Superannuation Clearing House (SBSCH).

^ QuickSuper is a product owned and operated by Westpac Banking Corporation ABN 33 007 457 141. Westpac’s terms and conditions for QuickSuper are available after your eligibility to use the service has been assessed by smartMonday. A Product Disclosure Statement (PDS) is available from Westpac. smartMonday and the Trustee do not accept liability for any loss or damage caused by use of the QuickSuper service and do not receive any commissions from Westpac as a result of employers using this service. You can choose to pay superannuation using a different service, but you need to ensure it meets the government’s minimum data standards. Find out more at ato.gov.au.

You are required to provide your employees with a Standard Choice of Fund form within 28 days of commencing employment. You can provide the form before commencement, such as in your letter of offer or onboarding pack for the employee. You need to record when you provide it, and when you collect a completed form from your employee. The latest information about Choice of Fund is available at the ATO’s Offer employees a choice of super fund page.

For employees who don’t return a completed Choice of Fund form to you by the time your SG payroll cycle comes around, you’ll need to check with the ATO for records of an existing ‘stapled’ super fund. If the ATO confirms there is no fund ‘stapled’ to an employee, you must then enrol the employee into your nominated ‘default’ fund. More information is available on the ATO’s Request stapled super fund details for employees page.

To learn more about your super obligations, contact a smartPartner at corporateenquiries@smartMonday.com.au