Superannuation in Australia – Employer Responsibilities, Rates & Reporting

Superannuation (“super”) is Australia’s compulsory retirement savings system. As an employer, you must pay a percentage of your employees’ ordinary time earnings (OTE) into a nominated super fund.

Super is not optional. It’s a legal obligation enforced by the Australian Taxation Office (ATO). Missing deadlines can result in fines, penalties, and audit risks. At Ozobooks, we help you automate super calculations, meet due dates, and report accurately through STP.

Current Super Guarantee Rate

As of 1 July 2025:

• Rate: 11.5% of ordinary time earnings (OTE)
  
• Applies to: All employees earning over $450/month (no minimum age)
  

This rate is scheduled to rise to 12% by July 2026.

What Counts as Ordinary Time Earnings (OTE)?

• Regular wages
  
• Commissions
  
• Bonuses
  
• Leave payments (annual/sick)
  

Does not include:

• Overtime
  
• Reimbursements
  
• Termination payments
  

Super Payment Deadlines

Super must be paid quarterly at minimum:

• Q1: 28 October
  
• Q2: 28 January
  
• Q3: 28 April
  
• Q4: 28 July
  

Late payments trigger the Superannuation Guarantee Charge (SGC), which is non-deductible and includes interest and admin fees.

Super vs PAYG Withholding

Feature	Superannuation	PAYG Withholding
Purpose	Retirement savings for employee	Income tax collected for the ATO
Paid to	Super fund	Australian Taxation Office (ATO)
Based on	Ordinary time earnings	Gross wages

How Ozobooks Helps

• Calculates super on every eligible payment
  
• Tracks contributions across employees and quarters
  
• Lodges via SuperStream (ATO-compliant)
  
• Sends reminders before payment deadlines
  
• Flags any unpaid or missed super items
  

FAQ:

Q1: Do I have to pay super for casuals or part-timers?
Yes. If they earn $450+ per month, you must pay super, regardless of hours.

Q2: What if I pay super late?
You’ll need to lodge a Superannuation Guarantee Charge (SGC) statement and pay penalties.

Q3: Can I pay super monthly?
Yes. You can pay more frequently, but you must meet quarterly deadlines.

Q4: Is super tax-deductible?
Yes, if paid on time. Late super contributions are not deductible.