What is Superannuation?
Superannuation is one way Australians can save money for their retirement.
Your employer should pay 9.5% of your salary into a super fund, through the Superannuation Guarantee (SG). There is a maximum cap the employer needs to pay per quarter is $5,423.55
You can also top up your super by making your own contributions, and where you are eligible the government may add to it through co-contributions and the low income super contribution.
The money deposited into your superannuation account is then invested, and the growth reinvested, to help the balance grow. The idea is that, when you retire and no longer receive an income, you can access your superannuation, rather than relying solely on the age pension, to support your lifestyle.
Generally you can access your super at age 65 or when you retire after reaching your preservation age (between 55 and 60 depending on your date of birth). You may be able to access your super earlier in limited circumstances such as if you become permanently disabled or suffer severe financial hardship.
How is Superannuation(SG) Implemented in Deskera People?
In Deskera People Superannuation(SG) is paid to the employee’s fund while processing every payrun for each employee, so that it is accurately withheld from the company.
- The withholding amount is based on the basic salary and earning components
2. In Deskera people, on the component level, the SG will be by default 9.5% for the earning components only. So the SG will be calculate on Basic Pay +Earning Components.
3. The Superannuation amount withheld by the company are based on the following parameters in the employee profile page in Deskera People
4. Based on the above details Superannuation Withholding amount by the employer will be auto calculated while processing the payrun.