The ATO has provided employers with a recent reminder that from 1 January 2020, salary sacrificed super contributions can’t be used to reduce super guarantee obligations, regardless of the amount your employee elects to salary sacrifice.
This means the salary sacrificed amount does not count towards your super guarantee (SG) obligations. A further change is that the super guarantee will be 9.5% of the employee’s ordinary time earnings (OTE) ‘base’.
The ATO has provided information for employers, payroll software providers and intermediaries who may need to change the way they calculate SG.
For more information, click here.