Salary sacrifice – employer superannuation obligations

Where an employee has an effective salary sacrifice arrangement in place, it is now mandatory for employers to calculate the superannuation guarantee charge of 9.5% on the gross, before salary sacrifice salary of the employee eg.

Salary $2,000.00 $2,000.00
Salary sacrifice to superannuation    $250.00    $250.00
Salary after salary sacrifice



Salary for SGC calculation $1,750.00 $2,000.00
SGC @ 9.5% $166.25 $190.00


  1.  The salary sacrificed superannuation needs to be recorded on the annual payment summary as reportable employer superannuation contributions (RESC)
  2. The salary sacrificed amount can not be included as part of the employer’s superannuation guarantee charge.

The changed basis for calculation of an employer’s superannuation guarantee charge was introduced from 1 January 2020 hence adjustment may need to be made in respect of any salary sacrifice arrangement in place on and from that date.