Why Timely Superannuation Payments Are Crucial:
Compliance with Legislation:
Failure to make the required superannuation contributions on time is a breach of the law. If the superannuation contributions are not paid by the due date, you could be subject to penalties and interest charges imposed by the Australian Taxation Office (ATO).
Superannuation Guarantee Charge:
If super contributions are missed or paid late, the ATO may impose a Superannuation Guarantee Charge (SGC), which includes not only the overdue superannuation amounts but also penalties and interest. This can add significant financial strain on your business.
Employee Trust:
Timely superannuation payments demonstrate to your employees that you value their financial security and are committed to providing them with the retirement benefits they are entitled to. Ensuring that contributions are made promptly helps build trust and promotes a positive work environment.
To find out the due dates for superannuation please check the ATO Super payment due dates info here https://www.ato.gov.au/businesses-and-organisations/super-for-employers/paying-super-contributions/super-payment-due-dates
Please note this is the final date for the super fund to receive and process the payment so we encourage our clients to pay at least 10 days before the due date.
Important Reminder: It is crucial to ensure that your superannuation payments are made by the due dates as set out by the ATO. To help you stay on track, we recommend setting up a regular system to review and process these payments, and consider setting reminders for yourself or your accounts team.
Superannuation Payments
Under the Superannuation Guarantee (SG) laws, all businesses are legally required to make regular superannuation contributions for their employees. These contributions must be paid at least quarterly and are typically calculated as a percentage of each employee's ordinary time earnings.
It’s important that these payments are made on time to avoid potential penalties.