How upcoming superannuation changes could impact employer sponsors

Superannuation Changes Decision Tree

The Australian Superannuation Guarantee – the proportion of wages that employers must contribute to their workers’ retirement savings – will increase from 9.5% to 10% on 1 July 2021.

How will this affect Employer Sponsored Employees?

The question has been raised if the extra 0.5% can be taken from the salaries of sponsored workers, as can be done with some Australian workers covered by specific awards or agreements.

This appears to be in conflict with the requirements of approved employer sponsored visas, where the sponsor has agreed to pay a specific Annual Market Salary Rate (AMSR) and guaranteed earnings.

The Migration Institute of Australia (MIA) believes it would be a breach of the visa rules for employers to extract the 0.5% from an sponsored workers salary, which specifies that contributions to a superannuation fund cannot be included in an employees’ earnings.

Share:

Share on linkedin
Share on twitter
Share on facebook

Related Posts

Like to know more?
Get in touch.

Subscribe to Hammond Taylor

Get the latest corporate immigration and visa news straight to your inbox.

Need assistance from an immigration lawyer...

With Victoria moving to Circuit Breaker restrictions, our office is closed until further notice. Our team has moved to working remotely. Our phone lines and video consultations remain open between 9am – 5pm.

Subscribe to Hammond Taylor

You can unsubscribe at any time. We value your privacy. Read our .