Matching employee super contributions under an Australian law
Reportable employer super contributions don't include contributions required by industrial agreements or rules of super funds.
If employers make additional contributions required by industrial agreements or rules of super funds, and the employer or the employee can't control the amount of the contribution other than choosing what is detailed in the law, it is not a reportable employer super contribution.
During the 2014–15 income year, Rodger's employer is required under an industrial agreement to make an additional employer contribution.
The agreement allows Rodger to elect to contribute 0%, 5% or 8% of his salary as a personal after-tax contribution. Rodger's employer is required to contribute 9.5%, 11.5% or 13% respectively, based on Rodger's election. Rodger elects to contribute 8% as a personal after-tax contribution and his employer contributes 13% super as the employer contribution.
None of the amounts the employer contributes are reportable employer super contributions, as the additional employer contributions are required by the industrial agreement.
Additionally, none of Rodger's personal after-tax super contributions are reportable employer super contributions, as the amounts are already included in Rodger's assessable income.
End of example