As every small business owner knows, there is no shortage of administrative tasks that take up valuable time and add to the cost of running their business.
The likelihood of having to make payments to multiple super funds for their employer contributions only adds to that administrative burden.
To help with this, the Department of Human Services operates something that is known as the Small Business Superannuation Clearing House. It is a free, online service that enables employers to access a central point where they can make just one payment for all of their employees rather than making payments to multiple funds.
The Clearing House distributes the contributions to the various funds on behalf of the employer and will distribute to all types of super funds, including self-managed superannuation funds (SMSFs).
Who is eligible to use the Clearing House?
It is available for small businesses with fewer than 20 employees. The number of employees includes full-time, part-time and casual staff.
Once registered, the Clearing House monitors your eligibility for the service.
How do you sign up?
Small business owners can visit the site below to register. It takes approximately five minutes to set up and then three to five minutes for each employee. You’ll need to provide your ABN and a contact email address along with information about your employees and their super funds. You can opt out at any time.
How do you make payments?
Once registered, employers will only need to log-on, enter the amounts for each employee and make one electronic funds transfer (EFT) or BPay payment to the Clearing House. Payments can be made as often as the employer wishes; although the required dates of 28 days after the end of the quarter must still be adhered to.
The contribution is deemed to have been made once the payments and instructions for employees are accepted by the Clearing House; not when the fund itself receives the payment.
The employer can make superannuation guarantee (SG) payments, salary sacrificed super contributions and personal (after tax) contributions made on behalf of employees.
Payment history is available on the site and includes a status update on current payments.
Where can I get more information?
For more information, visit the Small Business Superannuation Clearing House Click here
