Q. How do I nominate MTAA Super as my default fund?
A. As an employer you are required by law to nominate a default fund for your employees under the Choice of Fund legislation. This ensures that for any employees who do not make a choice or their choice cannot be implemented, you can pay SG contributions for them into the default fund.
To make MTAA Super your default fund, simply list us on your Standard Choice Form or give your new employees our Standard Choice form within 28 days of the date they start employment with you.
Q. What is the current Superannuation Guarantee (SG) rate?
A. The amount you must contribute is a percentage of your employees’ ordinary time earnings. The SG rate is currently 9.5% and will start increasing by 0.5% each year from 2021/22 up to a maximum of 12% in 2025/26. Ordinary-time earnings are the salary or wages paid to employees for their ordinary hours of work, excluding (among other things) overtime. It includes over-award payments, bonuses, shift allowances, commissions and paid leave. For more information about ordinary-time earnings and SG, contact one of our Superannuation Advisers or visit the Australian Taxation Office website.
Q. How does salary sacrifice work?
A. Salary sacrifice is an agreement between an employer and an employee, where an employee chooses to pay some of their before-tax salary into super. For you as the employer, these salary sacrifice payments are tax deductible. MTAA Super supports employers wishing to enter into salary sacrifice arrangements with their employees. MTAA Super services, including the MTAA Super Clearing House, QuickSuper, support salary sacrifice. You can claim all employer (concessional) contributions you make on behalf of your employees who are aged under 75 as a tax deduction. This includes an employee’s salary sacrifice contributions. You can also claim a tax deduction for SG contributions made on behalf of your employees aged over 75.
Q. What are the recent tax changes to salary sacrificing super?
A. Changes to the law mean that from 1 January 2020 you can’t use salary sacrifice contributions for an employee to reduce the amount of superannuation guarantee payments you must pay for that employee. You must include salary and wages sacrificed to superannuation in the base for calculating SG.
Q. Do I need to give you my employee’s Tax File Number (TFN)?
A. You need to give an employee’s TFN to MTAA Super if it was provided to you on or after 1 July 2007. To avoid ATO penalties, you must pass the TFN on to us within 14 days of your employee providing it to you. We use TFNs for legal purposes only, including tax and administration purposes. These purposes may change in the future if the law changes. TFNs are treated as confidential and they are subject to strict data privacy procedures.
Q. Why do you need a TFN for tax and administration purposes?
A. If we don’t have a valid TFN your employee may have to pay additional tax. We also may be unable to accept additional contributions (after-tax or non-concessional) from the employee, locate or consolidate a member’s super benefits in the future, or pay any benefits they are entitled to receive.
Q. What should I do if I overpay or underpay a contribution?
A. If you are making payments through the MTAA Super Clearing House, Quick Super, you can follow the cancellation steps. If you’re not using Quick Super, and make an overpayment or underpayment, call us for assistance on 1300 362 415.
Q. What is MTAA Super’s complaints process?
A. We care about our employers, and any complaints are taken seriously and dealt with as soon as practicable. If you have a complaint, call us on 1300 362 415 or write to us at:
In writing to: Australian Financial Complaints Authority
GPO Box 3, Melbourne VIC 3001
There are some time limits for lodging certain complaints. This includes complaints about the payment of a death benefit, which you must lodge with AFCA within 28 days of being given our written decision.
Q. How do I change my contact details?
A. If you use the MTAA Super Clearing House, Quick Super or Employer SuperSite, you’ll be able to change your contact details online. You can also call us on 1300 362 415 or email us at firstname.lastname@example.org.
Q. What happens if I make late payments to an employee’s super?
A. As an employer, you must make your SG contributions for your employees on time to meet legal obligations, avoid ATO penalties and ensure an employee remains covered by death and TPD insurance. If you don’t make at least quarterly contributions, you may be subject to the SG charge, which is payable to the ATO on top of the unpaid contributions. The SG charge includes an additional administration fee and interest, and is not tax deductible.
Extra employer contributions (including salary sacrifice contributions) must be paid to MTAA Super when SG contributions are paid.
Amounts which are being paid as a payroll deduction from an employee’s after-tax salary must be paid to MTAA Super within 28 days of the end of the month in which the deduction was made.
Also, if you are late paying SG contributions, your employees may have insufficient funds to pay their insurance fees.
Although MTAA Super may accept late employer contributions, this doesn’t mean your SG obligations have been met. Speak with your local Field Force team member for information or call the ATO Super Infoline on 13 10 20.