An educational illustration of the employer super guarantee — how much SG is owed on ordinary time earnings at the current 12% rate. Not financial advice.
The super guarantee is the minimum amount an employer must contribute to a worker's superannuation fund. It is set by law as a percentage of ordinary time earnings — broadly, regular salary or wages, not including overtime. The obligation applies to most employees and some contractors; the ATO's guidance covers specific exclusions.
The SG rate reached 12% on 1 July 2025 — the final step of a legislated schedule that has been rising incrementally since 2013. The schedule is now complete; 12% is the permanent statutory minimum.
| Financial year | SG rate |
|---|---|
| 2021–22 | 10.0% |
| 2022–23 | 10.5% |
| 2023–24 | 11.0% |
| 2024–25 | 11.5% |
| 2025–26 (current) | 12.0% |
Ordinary time earnings (OTE) is the amount an employee earns for their ordinary hours of work — generally, regular salary and wages, commissions, allowances, and some bonuses. It does not include overtime. What counts as OTE depends on the specific employment arrangement and can vary; the ATO provides detailed guidance on what is and is not included.
The calculator uses the annual figure you enter directly. It does not attempt to separate overtime from total earnings — you should enter your OTE, not your total gross income if overtime is a significant component.
The SG obligation does not extend to all earnings without limit. There is a maximum super contribution base — a quarterly cap on the earnings amount to which the 12% rate applies. For FY2025–26, the cap is $62,500 per quarter (equivalent to $250,000 annualised). An employer is not required to pay SG on ordinary time earnings above this amount. The maximum annual SG obligation on an even-earnings basis is therefore $250,000 × 12% = $30,000.
The cap is a quarterly limit, not an annual one. This calculator uses an annualised equivalent ($250,000) and assumes earnings are evenly spread across the year. If earnings are irregular — for example, a large bonus paid in one quarter pushes that quarter's OTE well above $62,500 while other quarters are below it — the annual result may differ from what this calculator shows. Confirm the quarterly figures with the ATO or a payroll adviser for those situations.
From 1 July 2026, the SG system will change to Payday Super. Under this reform, employers will be required to pay super contributions at the same time as wages rather than quarterly. The 12% rate itself does not change, but the timing and administration of SG will be fundamentally different. This calculator reflects the current quarterly system. The ATO will publish detailed guidance on Payday Super as the start date approaches.
Employers must pay SG contributions at least quarterly — by the 28th day after the end of each quarter. Contributions that are late attract a superannuation guarantee charge, which is more costly than the original obligation. Some employers pay more frequently; the law sets the minimum.
This is a simple illustration of the SG arithmetic. It does not cover: whether a specific employment relationship attracts SG; the maximum contribution base; salary sacrifice or other arrangements that change the base; differences between employer-contributed SG and after-tax contributions; or any individual's eligibility for super more broadly. For questions about a specific situation, the ATO's Super guarantee employer obligations tool or a licensed adviser is the right starting point.
We'll let you know when it's ready. No noise in the meantime.