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AU Payroll - Super maximum contribution base

Employers are only required to pay superannuation guarantee up to a quarterly threshold (maximum contribution base). At the moment Xero doesn’t cap the super at this level, and will allow super above the cap to be booked. (In fact, to limit the super at the cap requires a work-around adding 2 lines, one with 0% super and another with the fixed amount up to the cap.). Employers can easily overpay their employees’ super. This functionality needs to be built into Xero.

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Antonia Connolly shared this idea  ·   ·  Report…  ·  Admin →
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Accepted  ·  AdminDavid Reynolds (Admin, Xero) responded  · 

Thanks everyone, we appreciate you continuing to share your support for a maximum contribution base. We understand how this would reduce current manual calculations and help avoid overpaying super.

Our product teams have continued to review this idea as they plan their roadmaps, however at this point it's not something we've roadmapped.

For now this idea remains Accepted and will keep being considered as our product team plan future improvements to payroll. We’ll share an update here if there’s meaningful progress.

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  • Nicki Passanisi commented  ·   ·  Report

    Kelly, you are talking about the concessional cap for employees, we are talking about the quarterly cap for contributions made by the employer.

  • Antonia Connolly commented  ·   ·  Report

    Hi, the update from xero seems to miss the point. This is not about payments putting an employee over the cap, this is the "Superannuation Guarantee" only guararanteeing super up to the maximum contribution base - ie the employer does not need to pay super over this amount. It is not an employee issue - the lack of this cap can mean the employer pays more than it is legally required.
    Please can somebody at Xero review what we are talking about. this is a part of super legislation.

  • Jessica Robinson commented  ·   ·  Report

    Please prioritise this as a new update! It will save us so much time and confusion if it's automatic.

  • Peter Lenaghan commented  ·   ·  Report

    Yes this is easy to forget about the limits. Would be great if Xero auto calculated this per quarter

  • Matthew James commented  ·   ·  Report

    This is a basic requirement & don't see how Xero is compliant with the ATO . Very disappointing to find out after year-end we overpaid Super - guess Xero won't refund the overpayment!

  • Freya Pieroz commented  ·   ·  Report

    Currently going through and editing all the payroll templates and repeating bills for clients. There would be a lot fewer things to update for the new year during the EOFY rush if the maximum contributions base had been implemented.

  • Nadia Allan commented  ·   ·  Report

    Please add this feature. We're at risk of being non-compliant without manual intervention, which seems pretty backwards for a paid service.

  • Natalie Rallis commented  ·   ·  Report

    Can Xero please set up a flag when the super contribution cap has been reached for an employee? At the moment, the way to check is to run a YTD report, but it would be awesome if a flag or warning was created.

    Thanks!

  • David Borensztajn commented  ·   ·  Report

    How has this not been added yet. How can Xero justify the ever-increasing cost to it loyal customers when they allow compliance matters like this to fall by the wayside?!?!

  • Vusi Nxele commented  ·   ·  Report

    This is an important feature that needs to be added.

  • Marie Clothier commented  ·   ·  Report

    Xero, this is critically important. We are moving from a payroll system (that had this functionality) to Xero. To find out Xero doesn't stop someone from going over the super cap is not great. These caps are in place by the ATO, so it should be part of any basic payroll system. Thanks

  • Juanita Herbert commented  ·   ·  Report

    Xero, this is important. Genuine question - why hasn't it been fixed yet?

  • Alice Mattiske commented  ·   ·  Report

    Please add this function ASAP!! Do not know how people with multiple employees would even consider Xero if they had to change their super contribution every fortnight!!! We only have one employee and I get frustrated every fortnight.

  • Lauren Thorpe commented  ·   ·  Report

    Assumed this was already built into payroll features for Xero, would be good if can please be added ASAP.

  • Fiona Hempstead commented  ·   ·  Report

    Please address this critical issue so we can 'reduce friction' and stay 'beautiful' together.

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