*Changes to Minimum Wage & Superannuation
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Increase in Minimum Wage
Following the annual wage review the Fair Work Commission has increased minimum wages in awards and the national minimum wage by 3. These changes take effect from the first full pay period starting on or after 1 July. The new national minimum wage for a full-time adult will be $640.90 per week or $16.87 per hour.
The model transitional arrangements found in most modern awards will also end on 1 July. This will make it easier to calculate modern award pay rates as phasing from pre-modern award rates is no longer required.
With transitional arrangements coming to an end, Fair Work have made some improvements to their pay tools. After 1 July it will be quicker and easier to get pay rates and penalties from PayCheck Plus. Easy-to-reference tables with common penalty rates will also be incorporate into pay guides after 1 July (formerly Pay & Conditions Guides).
Updated pay rates and allowances are available now from the Fair Work website.
Changes to Superannuation
From 1 July 2014, employers with more than 20 employees are required to provide timely information about superannuation contributions they have made.
SuperStream or Data and Payment Standards, is a new process requiring employers to pay their employees superannuation contributions using the government?s new electronic data standards.
Employers will need to comply with 2 things under SuperStream:
1. Payments must be made electronically to the nominated superfund.
2. Details of the payment transaction, such as employee name, Tax File Number and Super fund member number are also sent to the superfund.
The government hopes that SuperStream will help:
- Speed up the time it takes for super contributions to be credited against the members super account (from weeks to just days)
- Provide better information about the amount and timing of superannuation payments to employees
- Provide notification from funds to members on whether contributions have or have not been received.
- Better data matching / consolidation by super funds in regards to money it has and whom it belongs to, for example, reduction in funds not credited against a super member.
More information on the changes effective with SuperStream is available from the ATO website.