Question on Super Payments Being Paid

Is super on my pay slip meant to be deducted from my wage? i.e. my fortnight payslip shows $1000 for example and tax is deducted along with my hecs payments and also 9.5% deducted as super and put into my superfund.

I'm just confused if this 9.5% should be taken out of my $1000 or should it be paid on top by the employer? So really I would be earning $1000 + 9.5% into my super?

Comments

  • +7 votes

    It depends om your contract. Some will pay you $1000 including 9.5% super, whereas others will pay you $1000 plus 9.5% super on top.

  • +16 votes

    What did the payroll department say when you contacted them?

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    I'd say in most cases it should be ontop of your payment. But it all depends how your offer was worded.

  • +2 votes

    Are you 100% sure it’s being deducted? As in does your payslip = gross pay - tax - super = net pay?

    The reason I ask is that would make it a pain come EOFY issuing your group cert. Super is not included in your taxable income in relation to completing your tax return, so it shouldn’t be combined with your ordinary earnings.

    •  

      The reason I ask is that would make it a pain come EOFY issuing your group cert.

      Not necessarily. Just because it shows up on the payslip doesn't mean it's included in the pay amount. A lot of these things are completely automated - decimals don't really faze them.

      •  

        A lot of these things are completely automated - decimals don't really faze them.

        Agreed, but I would expect a SG inclusive amount to be included in the fortnightly gross wage. If it showed an annual package figure, yes, that could be expected to have SG included in that annual amount, but wouldn't expect it for the fortnightly - it's just adding an extra field to calculate/store, which seems redundant.

  • +2 votes

    If the contract says it is a package of $50K, say, that means super is included (so taken out of your gross pay)

  •  

    Is your quoted salary a package or a base salary?

    • +1 vote

      From having interacted with and read your other comments before, I know you're asking actually in good faith and trying to be helpful, but just FYI (and anyone else):

      Don't casually give out your payslip. It has a lot of information, including most if not all the information someone would need to fraudulently steal your tax returns.

  •  

    All depends on the contract. I've had arrangements where it is a package that includes super; others where it's a base salary plus super. Without sighting your contract it is impossible to say.

  • +2 votes

    This is the most important thing to ask before you accept a job.

    Inclusive or exclusive of super:)

  • +1 vote

    Still baffles me how some people can't understand what they're getting paid.

  •  

    Okay so sorry for being stupid and not double checking but my super is paid on top.

    However, I made a super account in July 2017, and it was reported that the first payment came in July 2018. I have since got a following 2 deposits in August and last week (October) although they are ~1K sums (large compared to the less than $100 a week super I should be getting). I'm still currently behind about 1K on what should be in my fund.

    On top of that for about the first 2 months of my employment I was only getting 9% super shown on my payslip this was changed to 9.5% since.

    •  

      Maybe you paid $1K in super fees?

      •  

        Can't seem to check my fees on mobile so have to wait until I'm home but my account has under 4K total in it so there wouldn't be 1K in fees would there?

        •  

          No idea, sorry; not an expert in super. But yeah that's a logical explanation.

          How have you calculated your super if you think you're missing $1K?

    •  

      Is your super linked to the performances of the shares(ASX) ? If so, given how the ASX shares has performed, alot of super balances would have decreased …

    •  

      They possibly only pay super quarterly, hence the lump sums.

      When you say you made the account in July 17, do you mean that's when you started working/provided the employer with your super details?

      If so, and the first deposit was July 18, something is wrong.

      •  

        Yes I gave them my member number and all the details they asked me for. Fast forward to July 2018 a year later they ask me for those same details but this time the only thing extra is they want the USI number as well, and after I gave them that is when payments started and an email from my super fund saying my account is 'active'

        •  

          OK, I would be going through all my payslips at this point and totaling up everything till 30 Sep 2018. This is the minimum amount they should have deposited (SG from 1/7/18-30/9/18 had to be in your account by 28/10/18).

          It really sounds like they haven't paid you super for a year.

          FYI, I believe USIs were made compulsory last year, so they should've asked for that last year.

    • +1 vote

      Super is apparently being paid quarterly, not weekly or fortnightly.

      I'm still currently behind about 1K on what should be in my fund.

      Super isn't a savings account. The amount goes up and down depending on where your fund invested the money.

      •  

        I just totalled the 3 deposits made into the fund by my employer; not the actual amount after fees etc

        •  

          The amount that your employer needs to deposit into your superfund should exactly equal the amount shown on your payslips (accumulated for the period remitted). Your super fund will have a separate statement for the fees they charge or other items such as insurance etc. So you might want to check the amount with your employer and have that corrected.

      •  

        Not Necessarily that it should be paid quarterly. It can be paid weekly, fornightly or quarterly dependin on how the payroll has set up.

        Cheers

      • -1 vote

        Actually Super is calculated on each pay period (whether it's weekly/fortnightly or monthly) but the employer has up to quarterly to remit the amount to the employees Superfund. As an employer, this is what I have been told by my accountant from day 1.

        As per OP's question, it depends on your employment contract/terms as to whether your pay in inclusive or is super paid on top, so it's up to your negotiation when you were initially employed and your negotiation at every pay review.

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