Money Matters

Is your employer actually making super contributions?

Superannuation: 9.25% of your salary put aside for a retirement-y day. Under Australian law, an employer must make super contributions on your behalf if you are eighteen years old or over and paid at least $450 (before tax) in salary or wages per month (via ATO).

Even though we employees don’t get to see, smell or taste our hard-earned super for decades, it’s still money. More importantly, it’s our money, a back-up for when we’re down on our luck or an affordable way to take out an income protection policy*.

Unfortunately, cash-strapped employers tend to skimp on super contributions, and a lot of businesses have been experiencing hardship recently, so don’t trust everything that’s on your payslip. While your transactional bank account might be receiving the right amount of cash, your super fund might not. I called my fund today and found out that it hasn’t had a decent sized contribution since 2012. Aiyo! What to do, la?

Firstly, give your employer some slack. Perhaps they’ve set up a different account for you? Try talking to your employer. Go over your account details with them. However, if they still insist that they have been paying your super correctly when they obviously haven’t, contact ATO, Fair Work Australia or the relevant state or federal workplace relations systems. Do it as soon as possible, since trying to wrangle super out of a company from a period of employment that was over five years ago is very difficult, especially if said company is going out of business.

*’If…your employer’s super contributions stop, your cover may end without notice’ (via MoneySmart).

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