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'It's going to suck': Surprise pay cut looms for millions


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by Anthony Keane
Premium Content
 
Workers across Australia face a surprise pay cut when compulsory employer superannuation payments rise from 9.5 to 10 per cent of wages on July 1.
People on salaries that include superannuation in their package are likely to lose some take-home pay as a higher proportion of their income gets diverted into super.
Accountants estimate the move could impact more than half the nation's salary-earners, and is the first of five 0.5 per cent super rises legislated to occur on July 1 each year until 2025, when the compulsory superannuation guarantee (SG) contributions will reach 12 per cent.
Chartered accountant and Mr Taxman founder Adrian Raftery said "it's going to suck" for some people.

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Australian workers set to face unexpected pay cuts as earnings moved to superannuation


A new rule could introduce an unexpected pay cut for more than half of Australia's salary-earners in a bid to boost employee's retirement savings. 
Australian workers who have superannuation included in their pay package are likely to see a larger chunk of their wages diverted to superannuation as payments rise from 9.5 to 10 per cent of earnings on July 1.
The compulsory superannuation guarantee contributions will have five 0.5 per cent rises each year until 2025, when it'll peak at 12 per cent.
To find out if the move will affect your pay packet, employees need to contact their pay role department to see if superannuation is tied up to their packet. 

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'It's going to suck': Surprise pay cut looms for millions

'It's going to suck': Surprise pay cut looms for millions
gladstoneobserver.com.au - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from gladstoneobserver.com.au Daily Mail and Mail on Sunday newspapers.

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What are the financial implications for returning Aussies?


What are the financial implications for returning Aussies?
What are the financial implications for returning Aussies?
Australians returning home indefinitely because of the pandemic will need to consider a range of financial planning implications if they have been based overseas for long periods of time, an accounting and advice group has warned.
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HLB Mann Judd tax partner Peter Bembrick believes thousands of returning Australians will need to give consideration towards a range of tax issues, given there are tax nuances depending on the jurisdiction resided in and the length of time spent overseas.
Around 40,000 Australians are currently registered with the Department of Foreign Affairs and Trade to return home.

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Returning Australian expats cautioned on tax traps

Returning Australian expats cautioned on tax traps
accountantsdaily.com.au - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from accountantsdaily.com.au Daily Mail and Mail on Sunday newspapers.

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Returning expats reminded on tax snares with pensions, investments

Returning expats reminded on tax snares with pensions, investments
smsfadviser.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from smsfadviser.com Daily Mail and Mail on Sunday newspapers.

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