What is Superannuation?
Though mandated by the government, making smart contributions over the course of your life is an investment in your future and could mean the difference between a modest retirement and a comfortable one.
How does superannuation work in Australia?
If you’re 18 years or over and are working in Australia, earning $450 (before tax) or more a month from an employer, you are typically entitled to compulsory superannuation contributions from this employer.
It doesn’t matter whether you’re full-time, part-time, casual, or if you’re a temporary resident of Australia, generally you are eligible for super if you meet these conditions.
The minimum superannuation your employers must pay is 10% of your ordinary time earnings (OTE) (known as the ‘superannuation guarantee’). Ordinary time earnings (OTE) are what you generally earn for your ordinary hours of work.