Make super guarantee (SG) contributions on behalf of your employees

Most of your employees should be covered by the superannuation guarantee legislation. Generally, employees who are paid $450 or more (before tax) in a calendar month and work on a full-time, part-time, or casual basis should receive super contributions.

If you have employees over the age of 65 a Work Test declaration [PDF 52KB] may be required before employer and member voluntary contributions can be accepted by the fund.

There are some employees who are exempt under the SG legislation.

For more information on who you need to pay super for, you can contact the ATO on 13 10 20 or visit the ATO website.

Provide Tax File Numbers (TFNs)

Providing your employees’ tax file numbers (TFN) is very important. If you don’t provide your employees’ TFNs to us, they won’t be able to make any voluntary contributions and may pay more tax on their super than necessary.

When an employee has given you their TFN the law requires that you pass it on to their super fund. It is generally required that you do this when you next make a contribution for any employee who has given you their TFN.

However, if you receive an employee’s TFN within 14 days of sending your contribution for the employee, then you have up to 14 days from receiving the TFN to pass it on to the fund.

Your TFN responsibilities are to:

  • accept TFNs from your employee,
  • respect the privacy of employees who quote you their TFN, and
  • pass on their TFN when you next make a contribution to the employee’s superannuation fund.

For more information on superannuation and tax call the ATO on 13 10 20 or visit the ATO website.

Offer your employees a choice

Most Australian workers are eligible to choose which super fund they want their contributions directed to.

For those employees who are eligible, you must provide a Standard choice form [PDF 164KB] to them within 28 days of their start date.

You are not required to offer choice of fund to employees if you are already paying super contributions for them under, or in accordance with:

  • a state industrial award or preserved state agreement,
  • a federal industrial agreement such as an Australian Workplace Agreement (AWA),
  • a pre-reform AWA, pre-reform certified agreement, collective agreement,
  • an old industrial relations agreement, individual transitional employment agreement (ITEA), or
  • a workplace determination, or enterprise agreement (these are defined terms in Federal industrial relations law).

Some state and federal public sector employees are also excluded from choice of superannuation fund.

If the award or agreement simply refers to superannuation guarantee legislation without mentioning a specific fund, employers must offer choice of super fund.

You may need professional advice to work out whether an award applies to your employees. We recommend:

  • checking with your employer organisation,
  • referring to the Department of Employment website, or
  • contacting the workplace relations department in your state or territory.

You are not required to provide the Standard choice form to employees who hold temporary visas, although they are eligible to choose the fund they would like their super payments made to.

Relevant visas include:

  • Working Holiday visa (subclass 417)
  • Work and Holiday visa (subclass 462)
  • Temporary Graduate visa (subclass 485)
  • Temporary Work (Entertainment) visa (subclass 420)
  • Temporary Work (International Relations) visa (subclass 403)
  • Temporary Work (Long Stay Activity) visa (subclass 401)
  • Temporary Work (Short Stay Activity) visa (subclass 400)
  • Temporary Work (Skilled) visa (subclass 457)

For more information on default employer funds, paying contributions to your employees’ chosen funds, and keeping records, please visit the ATO website.