Superannuation Guarantee (SG) Rate Changes and Due Dates

As an employer, paying your employees' Superannuation Guarantee (SG) in full and on time is a strict legal requirement. The ATO frequently updates the SG rate, and missing a due date can trigger heavy penalties and the Super Guarantee Charge (SGC).

1. Superannuation Guarantee (SG) Rates

The SG rate is the minimum percentage of an employee's Ordinary Time Earnings (OTE) that you must pay into their nominated super fund. The rate recently reached its legislated cap of 12% and will remain at this level for the foreseeable future.

SG Contribution & Cash Flow Planner

Use this tool to calculate mandatory super contributions for an employee and see how the upcoming "Payday Super" rules will alter your cash flow.

Employee Annual Ordinary Time Earnings (OTE): $80,000

Select Financial Year

Employee Pay Cycle

Total Annual SG Contribution: $9,600

Old System: Cash needed per Quarter

$2,400

Payday Super: Cash needed per Pay Run

$369

2. SG Due Dates (Before 1 July 2026)

For the current 2025–26 financial year, SG contributions must still be paid at least quarterly. The payment must successfully hit the employee's super fund by the following due dates:

Note: If the 28th falls on a weekend or public holiday, the due date is the next business day. It is highly recommended to process payments through your clearing house at least 5-7 days early to ensure the funds clear in time.

3. Major Upcoming Change: "Payday Super"

The biggest change to Australian payroll in decades is arriving soon. Starting 1 July 2026, the quarterly SG due dates will be abolished. Employers will be required by law to pay their employees' super at the same time as their salary and wages (i.e., on their actual payday).

If you pay your staff weekly, you must process their super weekly. This means you can no longer use superannuation funds as a quarterly cash flow buffer.

What happens if I pay late?

The Super Guarantee Charge (SGC)

If you miss a due date (even by one day), the super payment is no longer tax-deductible for your business. You must also legally lodge an SGC statement with the ATO, pay nominal interest, and pay a $20 administration fee per employee, per quarter.

Next Steps: It is crucial to ensure your business cash flow and payroll software are prepared for the Payday Super transition before the July 2026 deadline. If you need assistance calculating the SGC for late payments, or want to upgrade your payroll systems, contact Loyal Bright Accountants today!