Changes to Super Payments

Changes to Super Payments – are you ready for the changes 1st July 2015
Attempting to boost efficiency, the government has sought to improve super payment processes through online payment systems and standardised data.

This means that uniformity in format is ensured in the transactions made between employers and super funds. The electronic nature of the system makes it easier for employers to make payments for all of their staff all at once, even if the staff belong to different super funds.

Overall, the benefits of these changes are:

• Standardised format electronic data transfer (like employee information and amount paid)
• Electronic payment processing
• Matching of amount paid and payment information linked by a unique payment reference number

One way to take the headache of the new reporting is by setting up Superannuation within Xero as this system will not only report the information required but make payment to each of your employees funds.  It is likewise possible to file these reports and make payments through a clearing house like Sun Super or the ATO clearing house.  Note the ATO clearing is only available for up to 20 employees.   However, between the two options, paying with Sun Super is advantageous because the employer can create an account for an employee  that has not provided their choice of fund.  This is not possible with the ATO clearing house.  If you would like detail on how to setup super within Xero or Sun Super please contact Paula on 03 96003220

Please Note: Many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances.