Super Guarantee Charge Help

What is the Super Guarantee Charge (SGC)?

The Super Guarantee Charge is a liability payable to the ATO when an employer fails to pay the required super guarantee on time and in full for eligible employees. It is designed to compensate employees and penalise late or missing payments.

• Applies if super is paid late, underpaid, or missed for eligible employees (including some contractors treated as employees for SG purposes).
• Calculated on salary and wages (not just ordinary time earnings), which often increases the shortfall amount.
• Includes 10% p.a. nominal interest from the first day of the quarter until the SGC statement is lodged, plus a $20 admin fee per employee per quarter.
• SGC is not tax-deductible. On-time super contributions are deductible.

Key due dates and when to lodge an SGC statement

Quarterly super must be paid to the super fund by the following dates. If you miss a due date, you must lodge an SGC statement with the ATO within one month after that due date.

• Jul–Sep: super due 28 Oct → SGC statement due 28 Nov if not paid on time.
• Oct–Dec: super due 28 Jan → SGC statement due 28 Feb.
• Jan–Mar: super due 28 Apr → SGC statement due 28 May.
• Apr–Jun: super due 28 Jul → SGC statement due 28 Aug.

Late super payments do not remove the obligation to lodge the SGC statement. They may be used as a late payment offset against the shortfall, but the amount is not deductible.

How SGC is calculated

After you lodge, the ATO will assess the SGC and apply any additional penalties for failure to lodge or pay. The ATO distributes SGC amounts to employees’ funds.

Penalties, risk and how to reduce them

• Failure to lodge an SGC statement can attract significant penalties (often referred to as Part 7 penalties) and enforcement action.
• Director penalty notices can make company directors personally liable if SGC is not reported and paid.
• Voluntary, prompt lodgement and full disclosure generally improve remission outcomes.
• If cash flow is tight, lodge on time and set up an ATO payment plan rather than delaying lodgement.

If you have received ATO correspondence, an audit notice or a default assessment, consider specialised support: ATO correspondence help, ATO audit help and ATO objection support.

How this usually works with a provider

A well-run Super Guarantee Charge engagement typically follows three steps:

1. Immediate triage: confirm affected quarters, employees and deadlines; stop further exposure; communicate with the ATO if required.
2. Calculate and lodge: reconcile payroll and super records, calculate SGC (including interest and admin fees), prepare and lodge SGC statements.
3. Fix and prevent: implement payroll controls, due-date automation and STP reviews to prevent repeat issues; agree on ongoing checks.

Documents to gather: payroll reports per quarter, super clearing house confirmations, employee start dates and classifications, any contractor agreements, and bank proofs of late or on-time payments.

What to compare before you commit

If you also need broader support, see Payroll services, Bookkeeping, BAS agent services and Tax accountants.

Common SGC scenarios we see

• Cash flow squeeze → super paid late for one or more quarters.
• Employee classification errors (contractor treated as employee for SG) leading to missed super.
• Missed new starters or payroll setup errors after a software change or migration.
• Super paid on OTE only where SGC requires salary and wages for shortfall calculations.
• ATO audit or review identifies historic underpayments and triggers default assessments.

Best next steps

Write down which quarters are affected, the employees involved and what you’ve already paid. Then gather payroll and super records and lodge the SGC statement quickly to limit penalties. If you cannot pay in full, still lodge and arrange a payment plan.

Use these related pages if your SGC situation overlaps other ATO issues: ATO debt help, ATO review help and ATO audit help. For ongoing prevention, consider payroll services and bookkeeping.