Your payment obligations
Under Superannuation Guarantee (SG) legislation, the current contribution rate payable is 9% of Ordinary Time Earnings.
However, if there is an Industrial or Enterprise Bargaining Agreement (EBA) in place at the site your employees are working, you are required to pay the amount set in the agreement. If the rate set in the agreement is less than the 9% SG, you are required to pay whichever is higher.
It’s important to check all the super provisions within the agreement that apply at the site your employees are working. Other super provisions may include: part weeks worked and the definition of Ordinary Time Earnings. From 1 July 2008, OTE as defined in the Superannuation Guarantee law is the basis for calculating super contributions for all employees.
Rates can change
Remember, a change in worksite can mean a change in the rate you need to pay. For example, an employee’s worksite might change from the construction sector to the housing sector or an allied industry.
Employees on paid leave
Contributions must be paid for employees absent from work due to sick leave, annual leave, bereavement leave, jury service, long-service leave or worker’s compensation. The amount payable is the amount stated under the relevant state legislation, award or agreement.
Need more help?
It’s our job to make managing your super as easy as possible. If you have a question, it’s important to remember that we’re here to help. Call us on 1300 361 784. You can also find out more information about your super obligations at www.ato.gov.au/super.