I am 25 years old and have been working for 4 years as a barista in a café. I don’t think my employer has been paying me appropriate superannuation and I am confused about what I can do about it. I don’t want to create an adverse situation for myself. What can I do?
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Answer by Neha Sharma, Hillsdale 2036 NSW
- In Australia an employer must pay a minimum statutorily set amount (currently 9.5%) of their employee’s salary and any contributions listed under an Industrial Award into a super fund. To be eligible for the super guarantee you must be at least 18 years or older and paid a gross income of at least $450 per month.
- If you are eligible for superannuation guarantee contributions then you should follow these steps to address your issue.
- Talk to your employer and ask them details about how much, how often and to which fund they make contributions towards your super. Ideally these details should be clarified when entering into an employment contract.
- Contact your super fund to clarify payment details and ask for an account statement for the past 4 years.
- You should carefully check these statements to review whether you have been paid an appropriate amount. You may choose to use the employee superannuation guarantee (SG) tool to calculate your superannuation guarantee entitlement. This tool is available from the ATO website and accessible through this link https://www.ato.gov.au/Calculators-and-tools/Employee-super-guarantee/.
- If you discover that you have been paid an incorrect amount you should first try and discuss the issue with your employer. You can give your employer a print out summary of the super guarantee calculation.
- If your employer does not want to resolve the issue or you don’t feel comfortable discussing it directly with your employer you may lodge an enquiry with the ATO.
- The ATO will ask you for details including employer details and may contact your employer to resolve the issue.
- Depending on your individual circumstances you may be able to get redress from the Fair Work Ombudsman or a court. If you initiate court proceedings the ATO enquiry may cease. A lawyer will be able to help you understand your particular situation and assist you in seeking redress.
- If your employer hasn’t complied with the law they will be liable to pay the super guarantee charge which includes:
- shortfall amounts;
- interest; and
- administration fees.