What is the Superannuation Guarantee Charge and what does it mean for you?

What triggers the SGC?

The SGC applies when an employer:

• Fails to pay the required super (12% of ordinary time earnings as of July 2025)
• Pays super late (after the quarterly deadline)
• Pays less than the required amount
• Pays into the wrong fund (in some cases)

The quarterly super deadlines are:

• Q1 (July-September): due by 28 October
• Q2 (October-December): due by 28 January
• Q3 (January-March): due by 28 April
• Q4 (April-June): due by 28 July

If an employer misses any of these, they are liable for the SGC.

What does the SGC include?

The SGC is more expensive for employers than paying super on time. It includes:

• The original unpaid super amount (the "shortfall")
• An interest component of 10% per year on the shortfall
• An administration fee per employee per quarter

Unlike regular super contributions, the SGC is not tax-deductible for the employer. This makes deliberate non-payment a costly mistake.

What happens to your super if the SGC is charged?

The recovery process protects you:

1. The ATO collects the SGC amount from the employer
2. The super portion is paid into your nominated fund (or held by the ATO if no fund details exist)
3. The interest component is also paid to you through your super
4. Your super position is restored as if the employer had paid on time

This means your super is eventually protected even when the employer initially failed to pay. The catch: it can take months or years for the SGC process to complete, so the earlier you raise unpaid super, the better.

How do you know if your employer is behind on super?

Check your super fund balance regularly:

• Log into your super fund and review contribution history
• Cross-check against your payslips (the super line item)
• Look for any quarter with no contribution that should have one
• Compare what was paid against what your payslip says

Get in touch with our team and we can run this check for you across all funds linked to your TFN.

How does our team help recover unpaid super?

Our SGC recovery process:

1. We gather evidence of unpaid super (payslips, super statements, employment dates)
2. We calculate the shortfall and interest amount
3. We lodge the recovery claim with the ATO
4. We follow up with the ATO and employer through the process
5. The SGC amount flows back to your super fund or you directly

We have helped working holiday makers recover thousands in unpaid super through the SGC process. This works even after you have left Australia. Send us your details if you suspect unpaid super.

What records support an SGC claim?

The stronger your records, the faster the recovery:

• All payslips showing super line items (or showing super not paid)
• Employment dates and weekly hours
• Pay rates and gross earnings
• Employer name, ABN, and business address
• Any communication with the employer about super

If you cannot find all of these, we work with what you have. Even partial records can support a successful claim.