Changes to superannuation guarantee rates
The budget of 13 May announced changes to superannuation guarantee rates, but also changed the government’s previous plans.
The new position is that:
• the rate of contribution will increase to 9.5% on 1 July 2014
• there then will be no further increase until 30 June 2018
• the rate will then increase by 0.5% each year until it reaches 12% in 2022/2023, one year later than the government’s previously proposed end date, and 4 years later than under the Gillard government legislation.
The important point is therefore to increase SGC contributions from 9.25% to 9.5% effective from 1 July. And after that, wait for any news of any further changes to the scheme that might occur before July 2018!
For more information on superannuation guarantee rates or other areas of Employment Law please contact our experienced Employment Lawyer: