As of 1 July 2021, the minimum super guarantee rate will rise from 9.5% to 10%, with further increases over the next five years.
If you have employees, you will need to ensure your payroll and accounting systems are updated to incorporate the increase.
Xero automatically applies the correct rates for superannuation. Like tax tables the correct percentage of super guarantee will be applied based on the payment date of your pay runs.
Employers may need to review their employees salaries, especially those that are on packages that include superannuation. These employees take home pay may decrease with the increase in the super guarantee rate.
If you are unsure if you need to pay your employees super or if you need assistance to work out how much super you need to pay, please contact your Forsyths team member.