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Superannuation Changes And Update 2022/2023

At the beginning of each financial year, you should check that the SGL Percentage & Quarterly Super Cap (max contribution base) in all of your relevant Wagemaster award configurations are up to date.

In the new financial year, there are two changes to employer superannuation that you must have in place before you begin paying employees. There is also clarification around a third topic:

  1. The employer's Superannuation Guarantee Contribution (SGC) increases to 10.50%.
  2. The new Quarterly Contribution Cap associated with limiting high-earners super guarantee has increased from $58,920.00 to $60,220.00
  3. Removal of $450 monthly threshold for super guarantee eligibility.

Superannuation contribution quarterly cap updates will need to be performed within individual awards if the quarterly cap is applicable. These changes will be done manually in each award. You can check the values in each award by running the Award Super Audit Report.

 

Employees under the age of 18 no longer require a threshold on superannuation contributions if they work more than 30 hours in a week. This means that all Awards in Wagemaster need to have the Threshold removed as per the ATO guidelines for employees which can be done in the Award setup.  Access group will release an update to reflect this in the Wagemaster and this requirement needs to be managed manually. The steps to complete are included below.

 

If you wish to review your obligations for paying superannuation to staff who are Under 18 years of age you can read the ATO guidelines HERE.

 

Check Award SGL Values - Effective 1 July 2022

Please Note

Complete all pay for the 2022 tax year before you make the Super changes.

Navigate to Reports Menu > User-Defined Reports > Award Super Audit Report.

At the beginning of each financial year, you should check that the SGL Percentage & Quarterly Super Cap (max contribution base) in all of your relevant Wagemaster Award configurations are up to date. You can check the values in each award by running the Award Super Audit Report from Reports > User Defined Reports.

Please Note

Before running the report please ensure that you have selected a pay period end date that is in the FY you are checking.

Below is a sample of the Award Super Audit Report. As you can see on the last line, the Salary Award for the SAMPLE association has an incorrect Monthly Threshold of $450, SGL amount of 10.00%; also note the incorrect Quarterly Super Cap Amount (max Contribution Base) for the 2022-23 FY for the Casual SAMPLE. SUper_audit_report.png

 

It is important that you check each award configuration in Wagemaster has the Superannuation Guarantee Cap increased in accordance with the applicable value for 2022/2023. To make the necessary amendments ensure you have selected a PPE in the correct financial year, go into each award and update the values. The below screenshot highlights the fields you should check and amend if necessary.

Applying The Superannuation Changes

  1. Go To:  Setup > Award.                                                                            6.png
  2. Select the award, then select Edit.
  3. Click on Payments Tab, Then select Superannuation.
    • The screenshot below is an example of the superannuation configuration for all NES awards.  
      blobid1.png
  4. Click on Close to save changes and review the first payslip of the financial year to ensure the changes have been made correctly. 
    • Superannuation parameters need to be setup as per the Super Guarantee Levy (SGL) as set by the ATO as a minimum or in accordance with your association guidelines. Payment conditions do need to be considered carefully as they will affect the calculation.
    • Remember the SGL calculation is a monthly calculation, rather than a per pay calculation. Therefore, if checking a super calculation for an employee, it needs to be done in the context of all pay saved in the month, rather than a single payslip. 

  5. Now repeat these steps for every award.
    • This is to ensure the increased SGL to 10.5%, the monthly threshold to $0.00 and quarterly contribution cap of $60,220.00 are in place.
    • If a super adjustment is required, do this in the last pay of the month as it will affect your super tracking and may result in underpayment of superannuation to your employees. 

Please Note

The Superannuation Guarantee Cut-In Amount is $0. Please check with your relevant award associations or Fair Work if unsure. 

If the Award Super Audit Report is not visible in your list of user-defined reports, download it from the help article linked here.

Continue To

Update To The Latest Version Of Wagemaster

Update The PAYG Tax Tables

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