The minimum percentage of superannuation guarantee employers are required to pay is set to increase over time, with the next increase to 10% due on 1 July 2021.
The rate of superannuation guarantee has been 9.5% per annum since 1 July 2014. From July 2021, the superannuation guarantee legislation states that super payments will increase incrementally each year until they reach 12% in 2025.
Now is the time to plan how this superannuation guarantee increase will be implemented and communicated.
Employers should also clarify with their payroll provider how the change will be implemented in the payroll system.
Disclaimer: This summary is a guide only and is not legal advice. For more information on employers’ superannuation obligations, call NECA Legal (WA) Pty Ltd on (08) 6241 6129 or email firstname.lastname@example.org.