Have you paid your employees superannuation late?

Super funds are now sharing more data with the Australian Tax Office (ATO) – including timing of contribution payments – allowing the ATO to check whether employers are paying the right amount of super guarantee by the due date for all employees. The ATO now have visibility on:

  • Who has received employer contributions;
  • How much was paid; and
  • When these contributions were received by the super funds.

This data is then matched with other data the ATO have – such as STP lodgement data – to determine whether employers are meeting their SG obligations. 

Have you paid your employees superannuation late?

Where super guarantee (SG) payments are made late, employers are required to:

  • Lodge super guarantee charge statements with the ATO
  • Calculate and pay SG charge, which is made up of:
    • unpaid or late SG amounts (calculated on employees salary/wages, including overtime)
    • interest on those amounts (currently 10%)
    • an administration fee of $20 per employee per quarter

Unfortunately, any SG payments made late are also no longer deductible to the employer – resulting in higher tax payable to the ATO. 

The quarterly due dates are as follows:

Quarter

Period

Payment due date

1

1 July to 30 September

28 October

2

1 October to 31 December

28 January

3

1 January to 31 March

28 April

4

1 April to 30 June

28 July

 

When is the payment ‘paid’?

Your employee’s super contribution is considered ‘paid’ on the date it is received by the super fund – not the date it’s paid from your bank account, or the date it is received by the clearing house. It is therefore important to check payment dates with your clearing house to ensure your payments will be processed before the due dates.