Coming Super Changes, it's going to be Super!

If you want to claim a tax deduction for super before 30 June 2022

For contributions to be counted in the 2021-22 financial year for tax, they must be physically in the hands of your super fund by 30 June 2022.

Payroll services and clearing houses typically take up to three days for payments to clear, and an additional three days for bank transfer, sometimes longer. The timings will differ depending on the payment platform you use. We are advising clients to pay super they wish to claim no later than 23 June 2022 to ensure contributions are received before the end of the financial year.

Super Guarantee (SG) percentage increases

The SG rate is legislated to increase from 10% to 10.5% from 1 July 2022. This is the second of several increases to the SG rate until it reaches 12% in 2025.

Minimum income threshold to be removed

From 1 July 2022, the $450 minimum monthly income threshold for the SG will be removed. The $350 threshold for those under the Hospitality Industry (General) Award (HIGA) will also be removed.

This means all employees aged 18 and over, including those employed under HIGA, will need to be paid SG contributions from July, regardless of how many hours worked.

Those under age 18 will still only need to be paid SG contributions if they work more than 30 hours per week.

StateWide Super merger with Hostplus

On 29 April 2022 Statewide merged with Hostplus. What this means for Statewide employees and employers is:

• StateWide super members will be provided with their new Hostplus member number from 03 June 2022

• These new details must be provided to your employer ASAP and a new Choice of Super Fund form completed

• The details will then need to be updated in Xero or other payroll software

• Review employee super details now to see whether you have any employess which require updating

Will I need to make changes in Xero for Super Increases

These will automatically be applied in Xero from 01 July 2022. The removal of the $450 threshold will be automatically applied to the total super liability on selecting pay-runs to facilitate payments. 

If you have selected the statutory rate as your calculation option for super payments, Xero will automatically apply 10.5% for pay periods from July 1. It’s a good idea to review your employee details and super information is up to date in Xero before the end of the financial year.