Did you know the Super Guarantee is increasing?

How do I know if I should be receiving the Super Guarantee?

Until 30 June 2022, generally you should receive the Super Guarantee from an employer if you are:

• 18 years of age and over and earn more than $450 a month before tax from that employer; or

• Under 18 years of age, earn more than $450 a month before tax from that employer and also work more than 30 hours per week for the employer.

From 1 July 2022, eligible employees will be entitled to Super Guarantee contributions regardless of what they earn in each month. This is because the Federal Government has removed the $450 income threshold on Super Guarantee payments with effect on and from 1 July 2022.

If you are under 18 years of age, you’ll still need to work more than 30 hours per week to be eligible for super guarantee. You can read more here.  

So, what has changed?

The rate of SG contributions will increase from 10% to 10.5% of your wage or salary as of 1 July 2022. So, keep an eye out on your pay slip and check to see the increase to your super contributions. There’s no need for you to do anything, this should be managed by your employer.

Even though this increase might seem small now, it can really add up over time depending on when you decide to retire.