What Is a Super Clearing House?
It’s obviously important for employers to meet their superannuation obligations for employees. Your employees have earned their retirement savings, especially if they have worked for you for years! However, it can be hard to keep track of your superannuation obligations and payments, which can not only upset your employees, but also end up costing you in terms of fines and other issues with the Australian Tax Office (ATO). A super clearing house can help make the process quick and easy.
So, what is a superannuation clearing house?
A superannuation clearing house allows you to manage and pay all of your employer superannuation contributions online, and from one location, regardless of the fund your employee is with. Instead of making multiple payments to different funds, you can make your super guarantee (SG) contributions as a single electronic payment to the super clearing house, saving you time and frustration. The super clearing house will then distribute the payments to the employees’ funds.
So, what are the benefits of using a super clearing house?
- It’s easy to use. With one online transaction, you can pay all of your superannuation contributions for all employees at the one time.
- It’s convenient. It’s available 24 hours a day, 7 days a week.
- It is secure. You won’t have to worry about your money because it will be taken care of and distributed securely.
- It will save you time. Making one payment each super period versus multiple payments to multiple funds will save you time (and frustration).
- It’s compliant. Most super clearing houses are now compliant, which means they are meeting the government’s rules around super payments and processes.
- It’s free for small businesses. If you have less than 20 employees and annual aggregated turnover of $10 million or less, you have the option to use the government’s Small Business Superannuation Clearing House for free. Plus, if you’re a Nationwide Super contributing employer, you’ll also be able to use our clearing house service for free – regardless of the number of employees you have!