Reading time: Think your super payments might be late?
I’ve missed a super payment. What now?
We all know the sinking feeling when we’ve forgotten something important. And discovering that a super payment is late can cause plenty of stress. But don’t panic. If you’ve just realised you’ve missed a payment, or paid the wrong amount, we’re here to help get you back on track.
What are the penalties for not paying super or being late?
The fine, or penalty, for late super is called the Superannuation Guarantee Charge and is calculated based on how much you owe. It includes:
- the shortfall amount (the contributions not paid or paid late),
- interest of 10% per annum, and
- an administration fee.
The SG Charge is based on the employee’s salary and wages, which may be greater than their OTE.
What should I do if I’m late with a super payment?
First, and importantly, pay what is due as soon as possible. If you’re not sure how much you owe, TWUSUPER can help work it out. See Sort your super for more information.
Then, you’ll need to notify the ATO via a Super Guarantee Statement.
How can I prevent late payments in future?
The best way to avoid late super payments is to have a regular payment system in place, using a Single Touch Payroll-compliant platform such as QuickSuper*.
Can I write the fines off as a business expense?
No. The Super Guarantee Charge is not tax deductible. What’s more, directors of companies can be held personally liable for the penalties.
Where can I go for help to make sure my payments are on time?
TWUSUPER has the resources and know-how you need. We will help you make the right super contributions at the right time.
*The QuickSuper service is provided to you by Westpac Banking Corporation ABN 33 007 457 141 ("Westpac") at the request of TWU Nominees Pty Ltd, ABN 67 002 835 412, AFSL No 239163 as Trustee for TWUSUPER ABN, 77 343 563 307 L0000246, Westpac terms and conditions apply to the QuickSuper service which you will be asked to accept. General advice on this website has been prepared without taking into account your objectives, financial situation or needs. Before acting on the advice, consider its appropriateness. You should also consider Westpac's Product Disclosure Statement (PDS). The PDS is relevant when deciding whether to acquire or hold a product.
QuickSuper is a financial product operated by Westpac Banking Corporation ABN 33 007 457 141, AFSL 233714.
The trustee is not responsible for and does not accept liability for the products and services of QuickSuper. You should use your own judgement before deciding to use QuickSuper.
The QuickSuper service and other products offered on this website are intended for use in Australia only. The products and services offered on this website are not available to individuals located in the European Economic Area.
General advice on this website has been prepared without taking into account your objectives, financial situation or needs. Before acting on the advice, consider its appropriateness. Refer to our Product Disclosure Statement (PDS). The PDS is relevant when deciding whether to acquire or hold a product. A Target Market Determination (TMD) is a document that outlines the target market a product has been designed for. Find the TMDs at twusuper.com.au/tmd