The current superannuation guarantee rate is 12%, as of 1 July 2025. That’s the final scheduled increase after more than a decade of gradual rises. Your employer must now contribute 12% of your ordinary time earnings into your nominated super fund on top of your regular pay — no application needed, it happens automatically.
Here’s what the 12% rate means in practice, who it applies to, what changes next, and what to do if you think your employer isn’t paying correctly.
What Is the Superannuation Guarantee?
The Superannuation Guarantee (SG) is the compulsory employer contribution to your super. It’s been part of Australia’s retirement system since 1992, starting at 3% and rising incrementally over the decades.
The rate reached 12% on 1 July 2025, the legislated target rate and is not scheduled to increase further under current law. Every eligible employee in Australia is entitled to receive it.
Current as at April 2026. Source: ATO Superannuation Guarantee
Current SG Rate: The Numbers
| Financial Year | Super Guarantee Rate |
|---|---|
| 2022–23 | 10.5% |
| 2023–24 | 11% |
| 2024–25 | 11.5% |
| 2025–26 (current) | 12% |
| 2026–27 onwards | 12% (no further increases legislated) |
Current as at April 2026. Source: ATO.
So if you earn $80,000 a year, your employer is required to contribute $9,600 into your super fund this financial year. At the previous rate of 11.5%, that figure was $9,200. The extra $400 a year may not sound like much, but compounded over a 30-year career it adds up meaningfully.
Please note: All figures and projections in this article are approximate and for illustrative purposes only. Individual outcomes will vary based on personal circumstances, investment returns and fees. This is general information, not personal advice.
To see how your current super balance compares to national averages for your age and gender, try the free Wealthlab super calculator. It takes about 30 seconds.
Who Is Entitled to SG Contributions?
Most working Australians are eligible. The key criteria are:
You are an employee (including casual, part-time or a contractor paid mainly for your labour), and you are 18 or older, or under 18 and working more than 30 hours per week.
A few things worth knowing. The $450 per month minimum earnings threshold that used to apply was abolished from 1 July 2022. Low-income workers, casual employees and those with multiple employers are all now entitled to SG contributions regardless of how little they earn in a given month. Temporary residents and visa holders working in Australia are also generally entitled.
There are limited exceptions, including some contractors who provide services through their own company (not personally). The ATO’s eligibility checker covers the edge cases.
One thing that catches people out: all concessional (pre-tax) super contributions count toward the annual concessional cap, which is $30,000 for 2025–26. That includes your employer’s 12% SG payments and any salary sacrifice you add on top. If you’re making voluntary contributions, keep an eye on that limit. More on contribution strategies in our superannuation resources.
When Does Your Employer Have to Pay?
Employers must pay SG contributions at least quarterly by these due dates:
| Quarter | Due Date |
|---|---|
| 1 July – 30 September | 28 October |
| 1 October – 31 December | 28 January |
| 1 January – 31 March | 28 April |
| 1 April – 30 June | 28 July |
Some employers pay monthly or with every pay cycle, which is fine. Quarterly is the legal minimum.
You can check your payments any time by logging into your MyGov account linked to the ATO, or by reviewing your super fund’s transaction history.
What If Your Employer Doesn’t Pay?
If an employer misses a payment or pays less than the required amount, the ATO can step in. Employers who fail to meet their SG obligations must pay the Superannuation Guarantee Charge (SGC), which includes the unpaid super amount, interest, and an administration fee. It ends up costing them more than if they’d just paid on time.
If you think your employer hasn’t paid your super correctly, check your recent payslips against your super fund statements. You can report missing payments directly to the ATO. They will investigate and, where appropriate, pursue the employer on your behalf.
What Changes From 1 July 2026: Payday Super
The rate itself stays at 12%, but how employers pay is changing significantly from 1 July 2026.
Payday Super requires employers to pay SG contributions with every pay run, with contributions reaching your super fund within seven business days of your pay date. Currently the minimum is quarterly, which means your super can sit unpaid for up to three months before any rules are broken.
The change is designed to reduce cases of unpaid super (a significant problem in Australia, particularly in industries like construction and hospitality) and to give workers the benefit of compounding returns on contributions that are paid throughout the year rather than quarterly.
If you want to understand how your super grows over time and what it might look like by retirement, take a look at our retirement planning resources. your super. Over a 30-year career, that can add up to hundreds of thousands of dollars especially with investment growth.
How the 12% Rate Affects Your Retirement Balance
The SG rate rising to 12% is the most significant structural improvement to Australia’s retirement system in years. For a 35-year-old earning $90,000, the increase from 9.5% (where it was a decade ago) to 12% means tens of thousands of dollars more in super by the time they reach preservation age.
But employer contributions alone rarely get most Australians to a comfortable retirement. As Scott and Phil discussed in our podcast episode The Superannuation Tax Strategy Most Australians Underuse, salary sacrifice and catch-up contributions can make a substantial difference for people in their 50s who want to top up their balance before retiring.
And if you’re wondering how your current balance compares to the ASFA comfortable retirement benchmark, the free Wealthlab super calculator will show you where you stand relative to national averages for your age group in about 30 seconds.
FAQs
What is the current superannuation guarantee rate in Australia?
The current SG rate is 12% of ordinary time earnings for the 2025–26 financial year (from 1 July 2025). This is the final scheduled increase under current legislation. The rate was 11.5% in 2024–25. Source: ATO.
Has the super guarantee rate reached 12% yet?
Yes. The SG rate rose to 12% on 1 July 2025. If you were employed on or after that date, your employer is already required to contribute at the 12% rate. Check your payslips or your super fund’s transaction history through MyGov to confirm.
Will the super guarantee rate increase beyond 12%?
There are no further increases legislated under current law. The 12% rate is the final target set under the schedule that began with incremental rises from 9.5% in 2021. Any future change would require new legislation.
Who is eligible for superannuation guarantee contributions?
Most employees in Australia are eligible, including casual, part-time and some contractors. You need to be 18 or older (or under 18 and working more than 30 hours per week). The old $450 per month minimum earnings threshold was abolished from 1 July 2022, so low-income workers are now entitled regardless of earnings. Temporary residents working in Australia are also generally eligible.
How much will my employer contribute at 12%?
For every $80,000 of ordinary time earnings, your employer must contribute $9,600 per year. For $100,000, it’s $12,000. The maximum super contribution base for 2025–26 is $62,500 per quarter, so employers are not required to pay SG on earnings above $250,000 a year, though many do.
What happens if I exceed the concessional contributions cap?
All employer SG contributions count toward your concessional cap, which is $30,000 per year in 2025–26. If you’re also making salary sacrifice contributions, keep an eye on the total. Exceeding the cap means the excess is included in your assessable income and taxed at your marginal rate. A financial adviser can help you model the right contribution level for your situation.
What is Payday Super and when does it start?
Payday Super is a new system starting 1 July 2026 that requires employers to pay SG contributions with every pay run (within seven business days). It replaces the current quarterly minimum. The change is designed to reduce unpaid super and give workers the benefit of more regular compounding on their contributions.
Can I ask my employer to contribute more than 12%?
Yes. Many employees arrange salary sacrifice on top of the 12% SG. This redirects part of your pre-tax salary into super, reducing your taxable income and building your balance faster. Just note that the combined total of your employer’s SG and any salary sacrifice still counts toward the $30,000 concessional cap.
Want to Know If You’re Actually On Track?
Knowing the SG rate is 12% is one thing. Knowing whether your super balance is on track for the retirement you’re planning is another. If you’d like to talk through your situation, book a free intro call with the Wealthlab team. No jargon, no sales pitch.