From 1 July 2025, the Superannuation Guarantee (SG) rate will increase from 11.5% to 12%.
This marks the final stage of the long-term uplift in the SG rate, increasing from 9.5% to 12% between 2021 and 2025.
What this means for businesses:
From 1 July 2025 you will need to:
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make SG contributions at the rate of 12%
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make these payments to all employees regardless of the amount they earn in the month (exception for some under 18 employees)
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check that your payroll platform has these updates scheduled to roll out (or make manual updates where necessary)
Important note on payment timing:
The SG rate is based on the date employees are paid, not the period the work was performed. If a pay period crosses financial years, apply the 12% rate if the payment date is on or after 1 July 2025.
Stapled Super Funds:
Don’t forget that if an employee does not provide you with a choice of super fund, you need to review the Stapled Super Fund information on the ATO website.