Forum Discussion

Anita_DEN's avatar
Experienced Cover User
5 years ago

Superannuation calculated wrongly

We just realised that our superannuation guarantee has not been calculated correctly since May, I suspect since we updated to AccountRight 2020.2. It's not about the threshold, though, the issue is t...
  • Steven_M's avatar
    5 years ago

    Hi Anita_DEN 


    Superannuation is calculated on a month by month basis. So that particular pay is looking at the full calendar month's worth of pay to determine that superannuation.


    The calculation for that pay is as follows:


    Base Hourly pay history amount + this pay's base hourly amount:

    $5536.44 + $2768.22 = $8304.66

    This gives you the month's gross wages


    Gross wages for the month x superannuation rate percentage (9.5%)

    $8304.66 x 0.095 = $788.94

    This gives you the required superannuation amount for the month (or the target if you will)


    Required superannuation amount for the month minus what has been processed already

    $788.94 -$664.23 = $124.71 

    $124.71 is the amount that is shown on that payroll transaction for the superannuation.


    $664.23 being the amount of super from the pay history- originally you listed it as $387.73 then you have done an adjustment of $276.50 to give you $664.23.)


    In summary, AccountRight does appear to be calculating the superannuation as intended. The reason why it is not 9.5% of that particular pay is that it will calculate based on the full calendar month. As you have had that category exempt for the past few pays these ae being factored into the equation for the month.


    Going forward you'll find that superannuation is calculated as intended as you haven't had past pays impacting the calculation and it would be a fresh calendar month.