Superstream – time to get ready

You may have heard of superstream over the past year or so, but have probably been able to ignore it to this point.

However, if you pay wages to anyone (even if only to yourself), you need to start using superstream to make super contributions from 1 July this year. It’s compulsory.

Don’t panic, as once you are registered it actually makes life easier. You make one super payment to your chosen clearing house and the clearing house distributes it to the various funds for you.

ACTION
You need to register with a clearing house of your choice ASAP. The ATO have a free one here which would seem a sensible choice for those with less than 19 employees …

https://www.ato.gov.au/business/super-for-employers/paying-super-contributions/small-business-superannuation-clearing-house/

You register your company as the employer and input your employee details including each employee’s superfund ABN and member number.

Once it is time to make super contributions you log onto the clearing house and indicate who is being paid what amount, then make one payment to the clearing house. The clearing house then transfers the funds into everyone’s superfund.

Of course one of the reasons for implementing this compulsory system is that the ATO can tell when you pay your employees super, so we can expect fines to be incurred if super is paid late. This will be the case even if it is your company paying your super, so beware.

The process is pretty simple, but of course if you need help setting yourself up please get in touch.

Lindsay

 

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