Superannuation (Super) is money set aside by your employer over your working life for you to live on when you retire from work. It is a compulsory system in Australia.
Super Guarantee (SG)
The Super Guarantee is the minimum percentage of your earnings that your employer must pay into your super fund. As of July 2024, the rate is 11.5% and is scheduled to rise to 12% by July 2025.
Tax on Super
Employer contributions and salary sacrifice contributions are generally taxed at 15% when they enter your super fund. Investment earnings within the fund are also taxed at a maximum of 15%.