What is the super guarantee charge (SGC)?
The SGC is a non-tax deductible charge levied on employers who do not make the minimum superannuation contributions required by the Superannuation Guarantee (Administration) Act. The charge is based on a percentage (currently 9%) of an employee’s ordinary time earnings and includes amounts for interest and administration costs. An employer can avoid the SGC by paying 9% of an eligible employee’s ordinary time earnings to an appropriate complying superannuation fund or retirement savings account each quarter.
