Employers in doubt over the calculation of their superannuation obligations are being encouraged to take advice on whether they are
Employers in doubt over the calculation of their superannuation obligations are being encouraged to take advice on whether they are affected by changes to the ‘earnings base’ which came into operation from 1 July.
Australian Chamber of Commerce and Industry (ACCI) Chief Peter Anderson says employers affected by this change should also take advice on the extent to which they may be able to restructure or agree employment or remuneration arrangements to compensate for the additional monies that need to be contributed into superannuation.
“It is also important that the ATO administers this change with sensitivity to the complexity of superannuation arrangements, and the difficulties some employers have with keeping up to date with changes, especially those made years ago,” says Anderson.
Other changes to employer superannuation arrangements that have come into operation in the past week, such as the removal of the double penalty on employers for late payment, have been welcomed by ACCI.
Anderson says the change to the ‘earnings base’ on which payments are calculated affects some employers, but not the whole of industry.
Most employers have already been using the ‘earnings base’ which now applies to all businesses.