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SP007(Newbie)Newbie
10 Sept 2025

Hi,

If an employer makes a superannuation contribution to an employee’s chosen super fund using the details provided by the employee, and the payment is rejected or refunded, is it the employer’s responsibility to follow up with the employee to correct their details so the contribution can be resubmitted, or is it the employee’s responsibility to ensure their details are accurate at all times? In cases where the incorrect details result in a missed contribution and the employee does not update their information after follow-up, is the employer still required to go through the Super Guarantee Charge (SGC) process, or can the employer instead submit the contribution to a default employer-nominated super fund?

307 views
3 replies
307 views
3 replies

All replies

NikkiATO(Community Moderator)Community Moderator
12 Sept 2025

Hi @SP007,


If a super payment is rejected due to incorrect details from an employee, you need to follow up with them to get the right info. This is a common issue when details don't match the super fund records.


You shouldn’t open a super account for them without employee’s knowledge or consent. Before using your default fund, you should follow the proper steps to confirm their chosen or stapled fund.

SP007(Newbie)Newbie
18 Sept 2025

@NikkiATO

I understand that part. However, my question is whether the employer still needs to go through the Superannuation Guarantee Charge form, including the interest and reporting process, in cases where the employer attempted to make the contribution but it failed due to an error on the employee’s side and was therefore missed. In this situation, can the employer simply pay the missed contribution into the default fund once it’s identified, including for employees who are inactive or have left the company? without going through SCG reporting process. Is their any set rules for this situation. Also i am trying to contact ATO helpline for past few days and haven't been able to get through to get an answer for this question.

RachelATO(Community Moderator)Community Moderator
23 Sept 2025

Hi @SP007,


Regardless of the reason, even if the employer attempted to pay but the contribution failed due to an error on the employee’s side (e.g. incorrect fund details), you are required to lodge an SGC statement (NAT 9599) within one month of the SG due date. The SG obligation is only considered met when the payment is received by the super fund, not when it’s sent or attempted.


You can’t simply pay the missed contribution into the default fund without going through the SGC process.  Even if the employer later identifies the missed payment and pays it into the default fund (including for inactive or former employees), this does not exempt you from the SGC process.


In terms of employees that are inactive or have left the company. Employers are still responsible for SG contributions up to the employee’s final working day, regardless of their current status.  If the employee has left and their fund is no longer active, the employer may need to pay into a default fund or follow up with the employee for updated fund details.


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