On 1 July 2022 there are two important super guarantee (SG) changes that businesses need to be aware of.
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.
The ATO are working with accounting software companies to make sure payroll software is updated in time. Aspen Corporate is also able to assist you with any questions. The ATO and our online tools and calculators will be updated to help you from 1 July 2022.
What you need to do?
Check that your 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 our website for guidance on what you need to do next. A stapled super fund is an existing super account linked to an individual employee.
If you have questions, or need support, speak to your Aspen Corporate advisor today.
