News
Get ready for super guarantee changes from 1 July 2022
We run through two important changes for businesses.
Superannuation guarantee (SG) is the minimum percentage of earnings that an employer has to pay into their employee’s super fund to help fund their retirement and is a legal obligation.
What is changing
From 1 July 2022, two important SG changes will apply to businesses.
These are:
- The rate of SG is increasing from 10% to 10.5%
- The removal of $450 monthly income threshold for super contributions. This means employees can be eligible for SG regardless of how much they earn. You may therefore have to pay SG for the first time to some or all of your employees.
What you need to do
- You’ll need to ensure that your software is updated to calculate the new employees’ SG entitlement from 1 July 2022.
- If you have employees that are going to receive SG for the first time, you will need to give them a Standard Choice Form.
- If the employee neglects to provide you with a choice of super fund, you need to contact the ATO to request their Stapled Super Fund details. A Stapled Super fund is an existing super account linked to an employee and follows them around as they change jobs. Be aware that if you don’t meet your choice of super fund obligations, additional penalties may apply.
How we can help
TaxAssist Accountants can assist with your superannuation needs including:
- Setup and Administration of Self-Managed Super Funds (SMSF)
- Assistance with Lump Sum withdrawals
- Assistance on Property, Shares & Investments inside Superannuation Funds
- Audits on Super Funds
If you need advice on any of the financial aspects of running your business, please contact us today on 02 9608 3707 or complete our contact form. We’ll be glad to help.
Date published 27 May 2022 | Last updated 9 Jul 2022
Choose the right accounting firm for you
Running your own business can be challenging so why not let TaxAssist Accountants manage your tax, accounting, bookkeeping and payroll needs? If you are not receiving the service you deserve from your accountant, then perhaps it’s time to make the switch?
Local business focus
We specialise in supporting independent businesses. Each TaxAssist Accountant runs their own business, and are passionate about supporting you.
Come and meet us
We enjoy talking to business owners and self-employed professionals who are looking to get the most out of their accountant. You can visit us at any of our multiple locations, meet with us online through video call software, or talk to us by telephone.
Switching is simple
Changing accountants is easier than you might think. There are no tax implications and you can switch at any time in the year and our team will guide you through the process for a smooth transition.