Superannuation Guarantee Determination

SGD 2002/1

Superannuation guarantee: what is the maximum contribution base for each contribution period in 2002-2003?

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FOI status:

1. $29,220.

2. By applying subsection 15(3) of the Superannuation Guarantee (Administration) Act 1992 (the Act), the maximum contribution base for a contribution period in 2002-2003 is:

$27,510 (maximum contribution base for a contribution period in 2001-2002) * Indexation factor for the 2002-2003 year


3. By applying section 9 of the Act, the indexation factor for 2002-2003 is the greater of '1' and the number found by dividing the AWOTE amount for February 2002 by the AWOTE amount for February 2001.

4. The AWOTE amount is an estimate by the Australian Statistician of the full-time adult average weekly ordinary time earnings for persons in Australia. The estimate for February 2002 was $860.50 and the estimate for February 2001 was $810.60.

5. This produces an indexation factor of 1.062. When applied to $27,510 the amount comes to $29,215.62. Subsection 15(4) provides for this amount to be rounded to the nearest 10 dollar multiple (rounding 5 dollars upwards). Therefore, the maximum contribution base for the 2002-2003 contribution periods is $29,220.

Commissioner of Taxation
24 May 2002

Not previously released in draft form.

References

ATO references:
NO 96/3689-7

Related Rulings/Determinations:

SGD 94/7
SGD 95/2
SGD 96/1
SGD 97/2
SGD 98/1
SGD 1999/1
SGD 2000/1
SGD 2001/1

Subject References:
average weekly ordinary time earnings
earnings base
maximum contribution base

Legislative References:
SGAA 9
SGAA 15(3)
SGAA 15(4)