A compulsory obligation for employers is the payment of the superannuation guarantee for their employees. It is generally paid at a rate of 9.5% of an employee’s salary (subject to some exceptions and conditions). Employers must pay the superannuation guarantee to their employees’ nominated superannuation fund at least every quarter, 28 days after the end of each quarter.

In order to combat employers who are not meeting their compulsory superannuation obligations for their employees, the ATO has been given special funding to crackdown on employers who are not complying and a number of new measures are proposed to ensure compliance.

Non-compliance, including late or non-payment, can result in penalties imposed by the ATO, including but not limited to, interest and administration fees – this can be costly!

The Federal Government proposes to introduce additional counter measures to more readily identify and penalise non-complying employers by:

• Super Funds report employer contributions received to the ATO monthly;

• Single touch payroll rollout – additional reporting for employers with 20 or more employees from 1 July 2018. For smaller employers, this will apply from 1 July 2019;

• Strengthen director penalty notices;

• Introducing the use of security bonds for high-risk employers; and

• In extreme circumstances, give the ATO the power to seek court-ordered penalties.

Avoid being on the ATO’s radar! Have you reviewed your obligations as an employer with regards to the payment of superannuation for your employees? Are all of your superannuation payments up to date?


If you would like to learn more about your superannuation obligations as an employer or if you need help with maintaining ATO compliance, the team at EMspire Advisory can help. Feel free to contact us today!

Please note that this information is not specific and is general in nature and cannot be relied on as advice. Please contact us for advice specific to you and your circumstances.