News
Understanding the super guarantee rate
01 Jul 2024
4 min read
What is the super guarantee rate?
The superannuation guarantee (SG) is a contribution that your employer must pay to your super. The super guarantee rate is legislated by the Australian Government — it applies to all Australian employees over the age of 18 (and some younger employees)1 regardless of occupation or income.
The current SG rate is 11.5% of your ordinary time earnings. This rate is scheduled to increase to 12% on 1 July 2025.
The superannuation guarantee was introduced in 1992 at just 3%. Before that, employers had no obligation to contribute to the retirement savings of their staff. Now, the super guarantee plays a vital role in the superannuation system.
The SG contributions made to your super are invested to grow your funds for retirement. Investments made depend on your super fund and whether you’ve actively selected your investment options (read the fund’s relevant Product Disclosure Statement for more information). The aim is to reduce reliance on the government age pension for income in retirement.
Who is eligible for super guarantee contributions?
If you’re a working employee and you’re over 18 years old, you’re eligible for super guarantee contributions regardless of how much you earn.2 If you’re under 18, you must work more than 30 hours per week to be eligible for SG.
How is super guarantee calculated?
Your super guarantee contribution is calculated by applying the current SG rate (11.5% for the 2024-25 financial year) to your ordinary time earnings (OTE). OTE is the amount you’re paid for your ordinary hours of work, including things like commissions and shift loadings. You can find more details on OTE on the Australian Taxation Office website.
Adding more to super
The super guarantee is the minimum amount that goes to your super. Some employers offer a rate above the legislated minimum as an incentive for their employees. You can also add more money to your super through voluntary contributions. There are limits to how much you can contribute to super, and your SG counts towards your concessional contributions cap.
Read our fact sheet Opportunities and limits for super contributions for full details on contributions limits. If you need help working out how much you can add to super, consider using our advice services.
Frequently asked questions
What is the super guarantee rate for 2024-25?
The super guarantee rate for the 2024-25 financial year is 11.5% of your ordinary time earnings. Employers are required to pay superannuation contributions at this rate. This rate is scheduled to increase to 12% on 1 July 2025.
What is the maximum contribution base for superannuation guarantee?
The maximum contribution base is the maximum level of income your employer is obliged to pay SG contributions on. For the 2024-25 financial year, the maximum income is $65,070 per quarter. So if you’re earning more than that, your employer doesn’t have to pay SG on any money above that amount.
When did the superannuation guarantee rate increase to 11.5%?
The superannuation guarantee rate increased to 11.5% on 1 July 2024. The rate is scheduled to increase every year until 2025 as follows:
| Year |
SG rate |
| 1 July 2024 |
11.5% |
| 1 July 2025 |
12% |
You will receive SG payments from your employers according to this rate.
How can I check my superannuation guarantee contributions?
You can generally see your superannuation contributions on your payslip. If you’re with NGS, you can also check for your SG contributions in Member Online by selecting Account Activity in the menu and filtering for ‘contributions’. Your super guarantee contributions will be listed as ‘Employer contributions’.
What should I do if I’m not being paid superannuation guarantee contributions?
You should talk to your employer first. If they don’t resolve your unpaid super, visit the ATO’s website for the steps you can take.
What are the changes to superannuation from 1 July 2024?
Changes to super that come into effect on or after 1 July 2024 (other than an increase in the superannuation guarantee rate) include:
- From July 2025, the concessional tax rate applied to future earnings for super balances above $3 million will be 30%, up from 15% (this has not yet become law).
- From July 2026 employers will be required to pay employees superannuation on payday instead of quarterly.
1 Employees younger than 18 years old are also eligible for super guarantee contributions if they work more than 30 hours per week.
2 From 1 July 2022, your level of earnings is irrelevant to your eligibility for super guarantee contributions. Before that, you needed to have earned $450 in a month to be eligible for the SG.
