- Super applies to full-time, part-time, and casual employees.
- Contributions are based on ordinary time earnings, proportional to hours worked.
- Payday super from July 2026 changes how and when contributions must be paid.
- Accurate records and payroll software help SMEs stay compliant and avoid mistakes.
Superannuation is a long-term retirement savings plan that you, as the employer, contribute to for your staff, which begs the question… who qualifies? Does eligibility depend on type of employment? And do all workers receive the same amount?
In this article, we’ll break down the main employee types, explain how super applies to each, and share practical tips to help you stay compliant and plan ahead.
How does super work for different types of employees?
Not all employees are the same, and super works differently depending on who you hire. First, let’s quickly break down who falls into each category:
Do I have to pay super for full-time employees?
Yes, all full-time employees are entitled to super, no matter how much they earn [4]. The current rate is 12% of ordinary time earnings (meaning, the pay an employee receives for their standard work hours).
Currently, super contributions must be paid at least quarterly. From 1 July 2026, payday super will change this: employers will need to make contributions at the same time as wages, so they reach the employee’s fund within 7 business days [5].
Do part-time employees get super too?
Yes, part-time employees are entitled to super, and once again, contributions are based on the hours they actually work – their ordinary time earnings.
With part-time staff, it’s especially important to keep careful track of hours worked. Their super is proportional to their pay, so accurate payroll records are key to avoiding mistakes.
Are casual employees entitled to super?
Yes, you must pay super for casuals, based on their ordinary time earnings, just like other employees. Casuals used to only get super if they made more than $450 a month, but since July 2022, there’s no minimum threshold [6].
Do I have to pay super for myself as a director or owner?
It depends. If you pay yourself a salary, you’re generally treated like any other employee and should pay super on those earnings.
On the other hand, if you don’t take a salary — for example, you draw money as dividends or profits instead — super contributions are usually voluntary.
💡Pro tip: Not sure if an employee should receive super? Use the ATO’s SG eligibility decision tool to confirm.
What mistakes do SMEs commonly make with super?
Even the most diligent small business owners can trip up when it comes to super. A few common mistakes include:
- Miscalculating ordinary time earnings: Contributions are calculated on ordinary time earnings, not total pay. Including overtime or bonuses incorrectly can lead to underpayments and potential fines from the ATO.
- Paying late and triggering Super Guarantee Charge: The ATO may charge interest, penalties, and the Super Guarantee Charge (SGC) if contributions aren’t paid on time.
- Forgetting super for new starters: It’s easy to overlook new hires, especially part-time or casual staff. Failing to start contributions from day one can lead to unexpected cash flow problems.
How can I stay on top of super for all my employees?
Managing super for a mix of full-time, part-time, and casual staff might sound stressful at first, but it doesn’t have to be. Here are a few tips to help you manage your obligations:
- Check eligibility regularly and make sure everyone’s properly classified
- Keep accurate and up-to-date staff super records
- Use payroll software to automate calculations and payments
- Include super contributions in your budgeting and set aside a portion of your revenue each month
- Prepare for payday super changes and plan your cash flow extra carefully to cover super alongside wages
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References:
- https://www.fairwork.gov.au/starting-employment/types-of-employees/full-time-employees
- https://www.fairwork.gov.au/starting-employment/types-of-employees/part-time-employees
- https://www.fairwork.gov.au/starting-employment/types-of-employees/casual-employees
- https://www.ato.gov.au/businesses-and-organisations/super-for-employers/work-out-if-you-have-to-pay-super
- https://www.ato.gov.au/businesses-and-organisations/super-for-employers/payday-super/about-payday-super
- https://www.ato.gov.au/businesses-and-organisations/super-for-employers/work-out-if-you-have-to-pay-super
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