Give your­self a su­per start to re­tire­ment

Canning Gazette - - SHOP LOCAL -

Lo­cal Busi­ness Mat­ters David Ea­ton – WA Small Busi­ness Com­mis­sioner

MANY small busi­ness own­ers put their own su­per­an­nu­a­tion at the bot­tom of their pri­or­ity list, but it is a vi­tal part of run­ning your own busi­ness.

By tak­ing ac­tion now, you can en­sure you have a strong fi­nan­cial foun­da­tion for your re­tire­ment years.

Su­per­an­nu­a­tion is one of the best routes to sav­ing for re­tire­ment and if you’re self-em­ployed or work as a con­trac­tor, pay­ing your­self su­per falls into your list of re­spon­si­bil­i­ties.

A stan­dard con­tri­bu­tion of 9.5 per cent of be­fore-tax in­come will en­able you to plan for life af­ter work.

Many small busi­ness own­ers pri­ori­tise other fi­nan­cial re­spon­si­bil­i­ties over pay­ing them­selves su­per.

If you have been an ir­reg­u­lar payer and have a low-bal­ance ac­count, since July 1, 2019, new laws known as the Pro­tect­ing Your Su­per­an­nu­a­tion Pack­age re­quire su­per­an­nu­a­tion providers to re­port and trans­fer these ac­counts to the Aus­tralian Tax­a­tion Of­fice.

On the other side of the coin, em­ploy­ers have also been put on no­tice by the ATO that pay­ments of em­ployee su­per­an­nu­a­tion con­tri­bu­tions are on their radar.

The ATO will have in­creased vis­i­bil­ity over su­per pay­ments from this year, with Sin­gle Touch Pay­roll re­quir­ing the vast ma­jor­ity of Aus­tralian busi­nesses to lodge pay­ment and su­per­an­nu­a­tion in­for­ma­tion for em­ploy­ees in real time.

The ATO web­site has in­for­ma­tion about su­per­an­nu­a­tion at ato.gov.au/ su­per.

The SBDC web­site also pro­vides in­for­ma­tion about su­per­an­nu­a­tion, pay­roll and other tax and fi­nance mat­ters.

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