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Superannuation Liability Casuals under EBA

Newbie

Views 230

Replies 3

Hey guys hope someone can assist with this and OTE

Casual workers currently work under an EBA

Casual workers rate is 125% Normal hours FT and 225% Overtime hours FT

Site allowance is also included ontop of hourly rate

Eba States Superannuation liability for instance $235 per week has to be paid into there nominated account regardless if they only work 1 day or 3 or 5

Hours of work on EBA 8 hours per day monday to friday but is based on 36 hour week due to RDO banking

Normal Hours of work are from 6am to 6pm

Shiftworkers is listed Morning shift Early Shift Afternoon shift and Night Shift Etc all with deffernt start times etc

A shift worker shall be paid at the rate of double time for all hours worked.

 

I have a few questions examples which i would love some help with

Casual worker goes from working 40 Hour Nt and 10 Hours OT monday to friday ( Overtime is not classified in OTE ) (but is OTE based on the agreement of 36 hours. Award of 38 hours or 40 Hours which was physically paid)

 

Casual worker work night shift 6 days 10 hours each day at DT (60 Hours DT in total) 

- do we just pay the base $235

- do we just pay the OTE based on 36 38 or 40 hour week at 9.5%

- or do we have to pay the whole 60 hours etc at 9.5%

 

Casual worker works tuesday to sat 8 hour days 32 hours NT 8 hours OT for Sat, EBA highlights monday to friday and also the fact that OT is not calculated.

- do we calcuate only the NT as OTE eg 32 hours or do we have to include the other 8 to make up the ordinary hours of work?

 

To sum it up due to the fact that the EBA has a set rate of $235 per week does that over ride when they OTE exceeds that amount?

(some weeks they will be better off with super some weeks they might not be due to shift work etc)

 

And what is the weekly hours 36 hours EBA 38 hours or 40 due to casuals.

 

Any notes would really help i have read most examples online but would love some help

 

 

 

1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

Devotee

Replies 2

You need to meet the minimum requirements for both super guarantee and the EBA.  Subject to the below limitations, when the EBA amount exceeds the required SG amount for a particular period the excess can be offset against the SG liability in a period when the SG requirement is more than the EBA amount.

 

The SG legislation limits the carry forward of excess payments to the current and following four quarters only.  For example an excess payment made in February 2021 could only be applied against an SG liability relating to the March 2021, June 2021, September 2021, December 2021 or March 2022 quarters. 

 

Before applying an excess against a future SG liability, you might need to check that all past SG required amounts have been paid.

 

You can check if you have satisfied the SG requirements at the end of each quarter.  To do this, divide the amount of super paid for the quarter by the SG percentage and compare the answer to the amount of OTE paid for the quarter.  For example if you paid $3,055 (13 x $235), divide that amount by 0.095 (the current SG rate).  The answer is $32,157.  If the OTE for that employee is less than $32,157 you have satisfied the SG requirements and would be able to carry forward the excess.  If you had also had a carry forward amount from previous quarters you would add that to the $3,055 and then divide by the SG percentage.

 

3 REPLIES 3

Most helpful response

Devotee

Replies 2

You need to meet the minimum requirements for both super guarantee and the EBA.  Subject to the below limitations, when the EBA amount exceeds the required SG amount for a particular period the excess can be offset against the SG liability in a period when the SG requirement is more than the EBA amount.

 

The SG legislation limits the carry forward of excess payments to the current and following four quarters only.  For example an excess payment made in February 2021 could only be applied against an SG liability relating to the March 2021, June 2021, September 2021, December 2021 or March 2022 quarters. 

 

Before applying an excess against a future SG liability, you might need to check that all past SG required amounts have been paid.

 

You can check if you have satisfied the SG requirements at the end of each quarter.  To do this, divide the amount of super paid for the quarter by the SG percentage and compare the answer to the amount of OTE paid for the quarter.  For example if you paid $3,055 (13 x $235), divide that amount by 0.095 (the current SG rate).  The answer is $32,157.  If the OTE for that employee is less than $32,157 you have satisfied the SG requirements and would be able to carry forward the excess.  If you had also had a carry forward amount from previous quarters you would add that to the $3,055 and then divide by the SG percentage.

 

Newbie

Replies 1

Thank you very much glenn for your advice as i believe that will be a huge help to making sure we have met our obligations,

 

If you can highligh as per my question how many hours OTE would be based on that would get this resolved.

 

You have been a huge help mate and i hope more people like you continue to share knowledge

ATO Community Support

Replies 0

Hi @Noteasy123

 

That is fantastic information @Glenn4802 has given. To add to that, take a look at our Checklist to work out if the hours the employees are working are considered OTE for Super guarantee.

 

Ari