Salary sacrificing super - information for employers

Which caps apply to mandatory and voluntary employer contributions?

Both mandatory and voluntary employer contributions count towards an employee's concessional contributions cap.

Mandatory employer contributions are the employer contributions you are required to make under:

• an industrial award or agreement
• super guarantee legislation.

The mandatory employer contribution for an employee under super guarantee is 9% of their ordinary time earnings. There is also a limit to the amount you have to contribute under super guarantee legislation per quarter - this is known as the maximum super contribution base.

For more information about the maximum super contribution base, refer to Key superannuation rates and thresholds.

Voluntary employer super contributions are the additional contributions you make - for example, if you pay your employees 15% super, then the 6% above the 9% super guarantee is a voluntary employer contribution.