How to Apply the Superannuation Guarantee Rate Rise

On 1 July 2021, the super guarantee rate will rise from 9.5% to 10%. Some pay periods will cross over between June and July when the rate changes.

The percentage employers are required to apply is determined based on when the employee is paid, not when the income is earnt. The rate of 10% will need to be applied for all salary and wages that are paid on and after 1 July 2021, even if some or all of the pay period it relates to is before 1 July 2021.

That means, if the pay period ends before 30 June, but the pay date falls on or after 1 July, the 10% rate applies on those salary and wages. The date of salary and wage payment determines the rate of super guarantee payable, regardless of when the work was performed.