Super Guarantee Charge Update

What is the Super Guarantee?

The Super Guarantee is the required amount of super an employer is obligated to contribute to each eligible employee’s complying super fund or retirement savings account. The current minimum contribution an employer is required to pay for each employee is 11% for the 1 July 2023 – 30 June 2024 financial year and will increase to 11.5% from 1 July 2024. The current Super Guarantee Percentage can be found on the ATO.

These Super Guarantee contributions are paid out a minimum of four times per year, by the quarterly due dates, which are 28 days after the end of each quarter as outlined in the table below. Employers who do not pay the minimum requirement of super guarantee for employees into the correct account by the due date, may be required to pay the non-tax deductible Super Guarantee Charge (SGC).

What is the Super Guarantee Charge?

The Super Guarantee Charge is what an employer may have to pay the ATO if they fail to pay the correct super guarantee contributions for all eligible employees by the due date or into the correct super account. Employers must report and take necessary steps to rectify any missed payments and also lodge an SGC statement by the due date below. The employer may be liable for 200% of the original Super Guarantee amount if the employee's super is not paid and a Super Guarantee Charge Statement is not lodged.
The Super Guarantee Charge is made up of:

  • Super Guarantee shortfall amounts (including any choice liability)

  • Interest on those amounts

  • A $20 per person administration fee, per quarter

How to lodge a Super Guarantee Charge Statement?

The SGC Statement can be lodged through the ATO Business Portal using either:

  • The SGC calculator

  • Completing the SGC spreadsheet and attaching it using the mail functions

Please note the SGC calculator can time out if you do not enter any details for some time. For ease of use it is required to have all the necessary information on hand before using the SGC calculator or completing the SGC spreadsheet.

The ATO recommends having the following information for all relevant employees:

  • Your business TFN or ABN

  • Employee details of all relevant personal

    • Name

    • TFN

    • Date of Birth

    • Super Fund Details

  • Salary or wages and payment dates for each quarter

  • All super contributions and dates paid

If you have any questions please contact our office and the AAG team can assist you with your queries.

Paul AbercrombieAbercrombie Accounting Group