Paying employee super
Whatever the size of your business, our online payment options make paying super simple.Payment options for employers
Generally, the current superannuation contribution rate under Superannuation Guarantee legislation, is 9.5% of ordinary time earnings (OTE).
The amount an employer must pay may be different if there's an Industrial or Enterprise Bargaining Agreement (EBA) or Award.
Employees for tax and super purposes include apprentices, trainees and some contractor arrangements. For more details visit the ATO.
We require Cbus employers to make monthly contribution payments. It's important that Cbus members receive regular super payments so the money can be allocated to their account and investment earnings can begin as soon as possible.
Employers may be obliged to make contributions more frequently due to industrial obligations.
When a new employee is eligible to choose their own super fund, you need to provide them with a Standard choice form (PDF) within 28 days from their start date.
If your new employee doesn’t want to choose a fund, you must pay their contributions to your nominated 'default' fund.
A default fund is the super fund your business nominates as the best fit to take care of the superannuation needs for all your employees.
It’s important to choose a fund that acts in the best interests of your business, and your employees. By nominating Cbus as your default fund, you’ll join the leading national super fund for your industry.
How do I make Cbus my default fund?
As an employer, you need to keep the following records in English for at least five years:
SuperStream was introduced by the Government to provide a simple, consistent method of preparing and paying employee super contributions.
All employers need to be aware of the deadlines to transition to the new SuperStream approved system. The date you’re required to comply depends on the size of your business.
We offer two SuperStream approved online systems to help you make the change to manage your employee super payments online.
When an employee provides you with their Tax File Number (TFN), by law you’re required to provide this information to their super fund.
If a TFN is not provided, your employee will be unable to make personal contributions and they may pay more tax on their super.
If a member chooses not to supply their TFN, the contributions you make for them will be taxed at the top marginal rate of 45% plus the Medicare levy of 2%.
You can provide us with a new employee TFN within 14 days or when making the first contribution on their behalf.
For more information visit the ATO website or call 13 10 20.
Single Touch Payroll (STP) is a government initiative to help simplify and enable you, the employer, to streamline your administration and reporting requirements to the Australian Taxation Office (ATO).
Single Touch Payroll will affect all businesses with 20 or more employees.
Not yet. The ATO are expected to release further information later in 2017.
Reporting will become mandatory for all employers with more than 20 employees from 1 July 2018. A timeline of the changes is shown below:
It will give you, the employer, the ability to automatically report your employee’s salary and wages (including super information) to the ATO at the same time as paying your employees.
STP aims to cut the red tape associated with tax and super reporting obligations through using business reporting enabled software, including payroll solutions.
Yes, you can voluntarily take advantage of the benefits of Single Touch Payroll reporting from 1 July 2018, but you’ll need to use a compliant payroll solution.
Otherwise, you can continue to report payroll and super information the same way as you do now.
We’ll continue to update you on information as it is released by the ATO, but if you'd like to know more, please find updates from the ATO directly.