New Superannuation Guarantee contributions rates & threshold changes.

From 1 July 2022, two important superannuation guarantee (SG) changes will apply to businesses. These are:

• the rate of SG is increasing from 10% to 10.5%
• the $450 per month eligibility threshold for SG payments is being removed.

What this means 

These changes mean that from 1 July 2022:

• you'll need to make SG contributions at the new rate of 10.5%
• employees can be eligible for SG, regardless of how much they earn. You may have to pay SG for the first time for some or all of your employees.

The Australian Government is working with digital service providers to make sure payroll software is updated in time and will be providing online tools and calculators to help you from 1 July 2022.

What you need to do

Check that your software is updated to correctly calculate your employees' SG entitlement from 1 July 2022.

Please note: If you are pre-paying your employees super for the June Quarter, ensure this is processed by 14 June to allow enough time to go through the Super Clearing House.

If the removal of the $450 threshold means you'll be paying SG for one or more employees for the first time, you'll need to give them a Standard Choice Form.

If your employee does not provide you with a choice of super fund, review the Stapled Super Fund information on the Australian Government website for guidance on what you need to do next. A stapled super fund is an existing super account linked to an individual employee.