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Salary sacrifice superannuation (Australia)

Setting up employee salary sacrifice arrangements.

Updated over 4 months ago

Employees can elect to sacrifice part of their pre-tax salary as additional super contributions.

Setting up salary sacrifice

  1. In the employee's super settings.

  2. Add employee contribution amount or percentage.

  3. Select whether it's before or after SG calculation.

This reduces taxable income and increases super.

Concessional contributions cap

Be aware of concessional contributions caps:

  • Employees have annual limits on concessional (pre-tax) contributions

  • Exceeding the cap results in additional tax

  • Monitor total contributions including employer SG and salary sacrifice

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