We recommend paying your employees super before the end of the financial year if possible.
To be eligible for a deduction for super you must pay the super contribution before 30 June – even though you don’t need to pay your June quarter super until 28th July. It is not paid by 30 June, your business will not get to claim a deduction in the 2020/21 financial year. If paid between 30th June and 28th July, it is deductible in the following financial year.
For the super to be considered ‘paid’ it is must actually appear in the employee’s superannuation account by 30 June and you will need to allow for up to 3 business days for processing.
For more on your Super obligations for employers – visit the ATO website here.
To discuss what is best for your business talk to your STS accountant today.