There are 2 main sections on this screen:
- Mandatory Contribution
- Voluntary Contributions
Mandatory Contribution
Overview
There are 3 options here to choose from:
- Super Guarantee Contribution which is ticked as a default
- Calculation Type is set to 'Statutory' (read only)
- Minimum Monthly Earnings is $450 each calendar month (read only)
How it works
- Generally, if you pay an employee $450 or more before tax in a calendar month and they are 18 years of age, you have to pay super on top of their wages.
- When you process a Pay Run, the SG is calculated for each employee if option 1 is ticked.
- A warning message will appear if an employe is over 18 years of age and option 1 is not ticked.
The minimum you must pay is called the Super Guarantee (SG):
- the SG is currently 9.5% of an employee’s ordinary time earnings
- you must pay the SG at least four times a year, by the quarterly due dates
- you must pay and report super electronically in a standard format, ensuring you meet SuperStream requirements
- your super payments must go to a complying super fund
- if you don’t pay the SG on time, you may have to pay the super guarantee charge
- Each calendar month, the system tracks the cumulative gross pay for each employee
- As soon as an employee reaches the minimum cumulative pay in the active pay run (currently $450), it calculates the 'catchup' super guarantee due (21 July in Example 1 below)
- All subsequent SG calculations are based on the gross pay for the active pay run only
Example 1
An employee who is over 18 years old is paid each week in the calendar month of Jul 2019 the following amounts:
|
Weekly Pay Period Dates |
Gross Pay Amount (Before Tax) |
Super Guarantee Amount Due |
|||
|---|---|---|---|---|---|
| Ending | Pay Day | Pay $ | Cal $ | Pay $ | Cal $ |
| 7 Jul | 8 Jul | $150 | $150 | $- | $- |
| 14 Jul | 15 Jul | $150 | $300 | $- | $- |
| 21 Jul | 22 Jul | $150 | $450 | $42.75 | $42.75 |
| 28 Jul | 29 Jul | $100 | $550 | $9.50 | $52.25 |
Example 2
An employee who is over 18 years old is paid each week in the calendar month of Jul 2019 the following amounts:
|
Weekly Pay Period Dates |
Gross Pay (Before Tax) |
Super Guarantee Amount |
|||
|---|---|---|---|---|---|
| Ending | Pay Day | Pay Day | Cal Month | Pay Day | Cal Month |
| 7 July | 8 July | $550 | $550 | $52.25 | $52.25 |
| 14 Jul | 15 July | $100 | $650 | $9.50 | $61.75 |
| 21 July | 22 July | $100 | $750 | $9.50 | $71.25 |
| 28 July | 29 July | $100 | $850 | $9.50 | $80.75 |
ATO Articles
- Learn more on how super is calculated
- Working out if you have to pay super
- Paying super contributions
- How much to pay
Voluntary Contributions
Overview
There are 3 options here to choose from:
- Employer wants to make additional payments over and above the SG.
- Employee wants to make additional payments from their after tax pay
- Employee wants to make additional payments from their pre tax pay, also known as salary sacrifice.
How it works
When you set up one of the 3 options above you can enter the fixed dollar ($) amount so that when you process a pay run, it will:
- For option 1, include the entered amount required to be paid by the employer
- For option 2, deduct the entered amount from the employee’s after tax pay
- For option 3, deduct the entered amount from the employee’s pre tax pay
Comments
0 comments
Please sign in to leave a comment.