July 1 payroll changes
If you have staff on your small business payroll, there are some changes coming into effect on 1 July that you need to implement. Read on to find out everything you need to know to ensure your legal compliance.
1. Super for all employees, regardless of how little they earn
From July 1, all employees must be paid the compulsory super guarantee, even those who earn less than $450 in a calendar month who were previously exempt.
2. Compulsory super guarantee increasing
The compulsory super guarantee for all employees will also go up on July 1 from 10% to 10.5%. This percentage will continue to increase by 0.5% at the start of each financial year between now and 1 July 2025 when it will stabilise at 12%.
3. Changes to government debt repayments
Minimum repayments on any government debt that any of your staff have will need to be increased by 3.9% on July 1 to cater for changes in the consumer price index (CPI). Examples of government debts that this will include are:
· Accumulated HECS/HELP student debt,
· Student Start-up Loans, and
· Trade Support Loans for apprentices.
Our team at Scorpion Bookkeeping can provide you with cost-effective bookkeeping support services to help you to make smart business decisions. We service a diverse range of clients in South Australia, New South Wales and Victoria.
We can also help you to implement Xero bookkeeping software to help you to stay on top of your business finances. Payroll is one of Xero’s many features and the July 1 changes are already programmed into the software to make compliance easy. We are a Xero-certified partner.
Contact us today for a free, no-obligation consultation! We’d be happy to answer any questions you have.