Managing super due dates can be a daunting task for many business owners and employers. With a variety of deadlines and key dates to remember, it’s easy to miss something important and face penalties from the Australian Taxation Office (ATO). With a bit of organization and understanding, it is possible to stay compliant and avoid any issues.
Quarterly super due dates
The first step in managing super due dates is understanding the key dates and deadlines that you need to be aware of. For employers, the main deadline to remember is the quarterly cut-off date for making super contributions.
This is the last day of the month following the end of each quarter (March 31st, June 30th, September 30th, and December 31st).
Super payment due datesIn Australia, the main deadline for making super contributions is the quarterly cut-off date. If employers fail to make contributions by this quarterly super due date, they may be subject to penalties from the ATO. These super due dates are the same each year.
|Super Quarter||Super Due Date||Super Guarantee Charge Due date|
|1 July – 30 September||28 October||28 November|
|1 October – 31 December||28 January||28 February|
|1 January – 31 March||28 April||28 May|
|1 April – 30 June||28 July||28 August|
Other important due datesIn addition to the quarterly cut-off date, there are also several other key dates to be aware of. For example, if you have employees who are eligible for the superannuation guarantee (SG) and you are unable to pay the super guarantee by the due date, you must notify the ATO and make an SG charge. The deadline for notifying the ATO is 28 days after the end of the quarter in which you were unable to pay the contributions. Another important date to keep in mind is the cut-off date for electronic lodgment of the Superannuation Guarantee Charge Statement (SGC) and payment. The cut-off date for electronic lodgment of the SGC is 14 days after the end of the quarter. If you fail to lodge the SGC on time, you may be subject to penalties. As an employer, you want to make sure that you’re making the correct contributions for your employees and reporting them to the ATO in a timely manner. To do this, it’s important to have a clear understanding of the superannuation guarantee and the rules surrounding it. One way to stay compliant is to work with a business accountant who’s experienced in managing super for Australian businesses. The team at creditte chartered accountants and advisors can help you navigate the complexities of super due dates and regulations. We can set up a system for tracking and managing super due dates, as well as ensuring that you are making the correct contributions and reporting them to the ATO.
Who has to pay super monthly?In Australia, employers are required to make super contributions for their eligible employees on a quarterly basis. However, some employers choose to make contributions more frequently, such as monthly. Employers who have employees earning less than $450 per month are not required to make super contributions for these employees. Employers who choose to make super contributions more frequently than quarterly, such as monthly, do so voluntarily. The benefit of this is that it allows them to keep track of the payments and make sure they are on top of the superannuation guarantee contributions and the related reporting. In some cases it can also assist businesses better manage their cashflow as they know what cash is theirs and what is their employees entitlements. Employers can also choose to make super contributions on a different schedule from the quarterly schedule if they have a specific agreement with their employees or employees’ union, or if they have a specific arrangement with the Australian Taxation Office (ATO). However, these agreements must be in writing and must specify the frequency of the contributions and the dates they are due.
What happens if I pay my super late?If an employer fails to make super contributions for their eligible employees by the quarterly cut-off date, they may be subject to penalties from the Australian Taxation Office (ATO). The ATO will charge the employer the Superannuation Guarantee (SG) Charge, which is a percentage of the unpaid contributions and is calculated based on the length of time the contributions are unpaid. Additionally, the employer may be subject to additional penalties for late or non-lodgment of the Superannuation Guarantee Charge Statement (SGC) if they fail to notify the ATO and lodge the SGC on time. The SG charge also accrues nominal interest at a rate determined by the ATO, and additional administration fees also apply. It’s important to note that failure to pay superannuation on time can also lead to negative consequences for employees, as it means that their retirement savings may be delayed and may be lower than expected. Therefore, it’s important for employers to stay on top of their superannuation payments and to notify the ATO if they are unable to make a payment on time.
SMSF due datesWhile we’re on the topic of super, if you’re managing a Self-Managed Super Fund (SMSF) here are a few important dates for you to keep in mind:
- June 30: Financial year-end date. SMSFs are required to have the same financial year-end date as the Australian financial year (June 30th). This date is important for preparing and lodging the annual return and for ensuring that all transactions are recorded in the correct financial year.
- October 31: Lodgment due date for SMSF annual return. The SMSF annual return must be lodged with the ATO by October 31st following the end of the financial year.
- Audit due date. SMSFs are required to have an annual audit conducted by an approved SMSF auditor. The due date for the audit report is the same as the lodgment due date for the SMSF annual return.
- Contribution due dates. SMSFs are required to receive contributions by the end of the financial year to be counted in that year’s contribution limits.
- Pension payment due dates. SMSFs that have members receiving pensions must make pension payments by the end of the financial year.
- Trustee minutes and resolutions. SMSFs must keep minutes of trustee meetings and resolutions and they must be dated within 28 days of the date of the meeting or resolution.