Superannuation

There are different types of super contribution to employees super:

• Superannuation Guarantee (SG)
• Reportable Employer Superannuation Contribution (RESC)
• Salary Sacrifice
• Personal Super Contributions

Superannuation Guarantee (SG)

SG represents the contribution payable by an employer for the benefit of an employee as mandated by superannuation guarantee legislation. This type of super is automatically calculated when processing a pay run based on the applicable super guarantee rate.

This type of supper is applicable to any ordinary time earnings.

Reportable Employer Superannuation Contribution (RESC)

RESC represents additional, optional (not legislated or mandated by industrial, legislative or business policy instruments) employer super contributions made on behalf of the employee, which have been influenced by the employee, such as for:

• Excess Maximum Contribution Base - amounts in excess of the maximum contribution base if the employer provides the employee with a choice for the employer to contribute to super or receive the amount as salary or wages.
• Individual Agreements - additional employer super contributions negotiated under individual contracts that are not provided for all employees.
• Optional Co-contributions - other super co-contributions such as matching contributions under individual contracts because the employee was able to directly influence the terms of the agreement.

The reporting of RESC is voluntary under STP, though if not reported through STP, must be reported via Payment Summaries/Payment Summary Annual Reports (PSAR). Where RESC is not able to be reported throughout the financial year, an employer can report this amount as part of the finalisation process for the payee.

Follow the next steps to setup RESC for an employee:

• Access the employee's details
• Click Superannuation tab
• Enter the contributions made that are in excess of the Superannuation Guarantee as a fixed amount or percenatge.

The extra percentage will be added to the relevant SG rate for ordinary time earnings.

• Check Reportable Employer Superannuation Contribution (RESC) option if the employee has the capacity to influence the amount or way it is contributed

Salary Sacrifice

• Voluntary Salary Sacrifice - an effective salary sacrifice arrangement for super contributions to a complying super fund that was voluntarily agreed by the employee.
• Mandated Salary Sacrifice - pre-tax contribution to a superannuation fund that requires members to contribute in this way, there is no employee influence over the amount of employer contributions to super, this type of super is not a Reportable Employer Superannuation Contribution (RESC)..

Use a deduction item in the employee's payroll to record the Salary Sacrifice amount.

Personal Super Contributions

After-tax (non-concessional) contributions are deducted from the employee's net payment after the tax has been deducted.

Use a deduction item in the employee's payroll to record the Personal Super Contribution amount.