I have checked my super fund and a payment hasn't been made from my employer. I started work a month ago, should I be worried?
This is one of the most commonly asked questions we get at people2people. In Australia, if you earn more than $450 per calendar month, (before you have had any tax deducted), then your employer is required by law to pay superannuation (9.5% as at April 2016) on your behalf, to the super fund of your choice. If you don’t have a super fund, then your super will be paid into your employer’s default fund. This is required whether you are in temporary or permanent work. So far so good. So, when does this have to be paid? Super is required to be paid on a quarterly basis. Some employers may choose to pay it more frequently, depending upon their cash flow and budgeting arrangements, as long as the full amount is paid by the due date at the end of the quarter.
Payment due date
1 July – 30 September
1 October – 31 December
1 January – 31 March
1 April – 30 June
*From the ATO website Due to the large number of different super funds people2people are required to pay because of the large number of on hire workers, we use the services of a Clearing House. This means that we make one payment (usually early in the month the payment is due to ensure the funds are received in time) and the Clearing House then distributes your money to your super fund before the end of the quarter.
So if your funds aren’t in yoru super find, this is likely to be the reason. Of course, if super has not been paid at all, then there are very severe penalties which apply to noncomplying employers.
Have a question for Manda Milling, people2people company secretary? Let us know in the comments or tweet @p2pManda!