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Payday Super starts on 1 July 2026 The information on this page applies to super guarantee payments from 1 July 2026. Some regulations and law for Payday Super are still being considered by Parliament. For progress updates see Payday superannuation legislation. |
When the maximum contributions base applies
The maximum contributions base (MCB) is the upper limit of your employee's earnings for each financial year for which you need to pay super guarantee (SG). If your payments of qualifying earnings to your employee reaches the MCB, you can stop paying the minimum SG contributions for the employee for that year.
Calculating the MCB
The MCB for a financial year is calculated using the following formula (rounded down to the nearest 10 dollar multiple):
Concessional contributions cap × 100 ÷ charge percentage
For 2026–27 the MCB is expected to be $250,000, calculated as follows:
$30,000 × 100 ÷ 12 = $250,000
The concessional contributions cap is the basic concessional contributions cap for the financial year in which the payment is made. From 1 July 2024, the basic concessional contributions cap is $30,000.
The charge percentage is the SG rate, which is currently 12%.
If you have paid $250,000 (based on the expected concessional contributions cap) of qualifying earnings to an employee for the 2026–27 year, you will not need to make SG contributions for that employee for any additional qualifying earnings paid to that employee for the remainder of the financial year.
Super guarantee opt out for high-income earners
An employee with multiple employers who is likely to exceed the MCB for a financial year may provide you with an SG shortfall exemption certificate.