If you have not paid your employees superannuation on time you need to read this.
Superannuation funds now provide information to the ATO when they receive superannuation guarantee (SG) contributions for employees. The ATO are using this information, as well as Single Touch Payroll (STP) reporting, to identify employers who have paid some or all of their super contributions late or haven't paid the right amount by the due dates.
If an employer is not meeting their SG obligations, it is possible the ATO will contact them to let them know that they need to lodge superannuation guarantee charge (SGC) statements for the relevant periods.
Even though the employer may have since paid the late or underpaid SG contributions to their employee's fund, they are still required to lodge a SGC statement and pay the SGC to the ATO.
Completing the SGC statement will help you calculate your SG Charge that you must pay to the ATO.
The SG Charge is made up of:
unpaid or late SG amounts (now calculated on the employee’s salary and wages, including overtime)
interest on those amounts (currently 10%)
an administration fee of $20 per employee per quarter
If you have already paid the late or missing SG to your employees’ funds for the relevant quarters you are not required to pay this again, but must lodge a SGC statement.
You can get more information on SG Charge and how it is calculated on the ATO website at https://www.ato.gov.au/business/super-for-employers/missed-and-late-super-guarantee-payments/the-super-guarantee-charge/
Please contact your Sullivan Dewing client manager if you have not paid your SG contributions or have paid late and need assistance to complete your obligations.