Superannuation Guarantee Increase from 1 July 2025

From 1 July 2025, the Superannuation Guarantee (SG) rate will increase from 11.5% to 12%. This means employers will need to contribute a higher percentage of their employees’ ordinary earnings to superannuation.

Importantly, the new 12% rate applies to any superannuation payments made on or after 1 July 2025, even if the wages were earned in the 2025 financial year.

The SG applies to most employees, including full-time, part-time, casual staff, and in some cases, contractors. Planning ahead now will help ensure your business stays compliant and avoids any penalties.

What You Need to Do

Make sure your payroll software is updated to apply the new rate automatically. Review your wage budgets to account for the increase and check if any employment contracts based on total remuneration need adjustments.

Also, inform your team if the change affects their take-home pay—especially if their salary includes super.

Tip: If we manage your payroll, we’ll take care of these updates for you—ensuring your super calculations are accurate and fully compliant.

A 0.5% super increase may seem small, but staying ahead of the change will save time, stress, and costly errors. If we already manage your payroll, we’ll handle the update for you—no action needed.

If not, please reach out to us and we can help review your setup, adjust payroll systems, and make sure you’re compliant by 1 July.

Disclaimer: This article is intended to provide general guidance and is not specific advice. We encourage you to seek tailored advice for your circumstances.