We have a contractor who we view as an employee for super. His ABN has been cancelled and we are withholding 47%, while he wait for him to get it reactivated. We have been running payday super, so do we pay his Super at 12% of the full OTE or at the Withheld amount?
Wouldn't you still pay super based on the gross amount? Same thing for people on wages, generally it's super guarantee based on the gross wages (before PAYG withholding), not the net wages. PAYG withholding doesn't change what they earned, just where the money goes, split between ATO and the person
"minimum super guarantee is calculated as a percentage of each eligible employee’s earnings (ordinary time earnings)"
Wouldn't you still pay super based on the gross amount? Same thing for people on wages, generally it's super guarantee based on the gross wages (before PAYG withholding), not the net wages. PAYG withholding doesn't change what they earned, just where the money goes, split between ATO and the person
"minimum super guarantee is calculated as a percentage of each eligible employee’s earnings (ordinary time earnings)"
Thanks that's what I thought.
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