In May 2010, the Government announced that the level of compulsory employer superannuation contributions were to gradually increase from the current rate of 9% of ordinary times earnings to 12% of ordinary times earnings by 2019 / 2020.
This became law in March 2012 and the first increase to Superannuation Guarantee (SG) contributions will be due shortly.
As of 1 July 2013, the SG contributions rate will increase to 9.25% of an employee’s salary.
The table below shows the increases for following years.
| Financial Year | Rate |
| 2012/2013 | 9.00% |
| 2013-2014 | 9.25% |
| 2014/2015 | 9.50% |
| 2015/2016 | 10.00% |
| 2016/2017 | 10.50% |
| 2017/2018 | 11.00% |
| 2018/2019 | 11.50% |
| 2019/2020 | 12.00% |
You will need to ensure that you update your payroll and accounting systems to reflect this increase to the superannuation guarantee rate. Contact Sinclair Wilson if you require any payroll assistance.