The last-ever quarterly SGC statement is due 28 August 2026
The June 2026 quarter was the final one under the old rules. Its SG payment was due 28 July 2026. If you missed that, you must lodge a super guarantee charge statement and pay the charge by 28 August 2026, under the old regime and at the old rates. Two traps on the way out: the late payment offset is not available for this final quarter, and contributions received on or after 29 July 2026 cannot be applied to it at all.
What Is the Super Guarantee Charge?
The super guarantee charge is what an employer owes the ATO when super is not paid in full and on time. It is designed to cost more than paying the super would have, and under Payday Super it is assessed per payday rather than per quarter — so a single misconfigured pay run can generate a charge every fortnight until it is fixed.
Since 1 July 2026 the charge has exactly four components:
| Component | Amount | Can it be reduced? |
|---|---|---|
| Individual final SG shortfall | The super that should have been paid | No |
| Notional earnings | 11.43% (July–September 2026), compounded daily | Only by paying sooner |
| Administrative uplift | Up to 60% of shortfall + notional earnings | Yes — to nil |
| Choice loading | 25% of the value of contributions, max $1,200 per notice period | Only by following choice rules |
The late payment penalty is not one of them. It is widely listed as a fifth component and it is not — it arises separately and much later. See below.
When Is Super Actually Due?
Within 7 business days of payday — but the test is when the money is received by the employee’s fund, not when you send it. Clearing house and fund processing time counts against you, which is the single most common way a compliant-looking payroll still generates a charge.
A longer 20 business day deadline covers two situations, not one: a new employee, and a first contribution to a new complying fund for an existing employee after you stopped contributing to another. And a business day excludes weekends and public holidays — a public holiday anywhere in Australia removes a day nationally, so a state you do not operate in can still move your deadline.
How to Get the Administrative Uplift to Nil
This is the largest lever available once a shortfall has happened, and it is routinely described wrongly as a single all-or-nothing test. There are two independent reductions and they stack. The uplift starts at 60%:
- No ATO-initiated assessment in the two years to that payday removes 20 percentage points. SGC from before 1 July 2026 is ignored for this test.
- A voluntary disclosure made before an assessment removes up to 40 more, decaying with time.
| Voluntary disclosure lodged | No prior assessment | Prior assessment |
|---|---|---|
| Within 30 days | 0% | 20% |
| 31–60 days | 5% | 25% |
| 61–120 days | 10% | 30% |
| More than 120 days | 25% | 45% |
| Not lodged | 40% | 60% |
Percentages are the resulting administrative uplift, measured from the payday.
The practical conclusion: disclosing quickly beats disclosing precisely. The reduction decays from the payday, not from when you finish reconciling, so an employer who discovers a problem is almost always better off disclosing immediately and refining the numbers afterwards.
The Late Payment Penalty Is Separate
A late payment penalty of 25% of the outstanding charge can be imposed — rising to 50% if you were liable for the same penalty in the previous 24 months. It is not part of the SGC, and it does not arrive automatically. The sequence is: the charge is assessed, it goes unpaid for 28 days, a Notice to Pay issues, and it remains unpaid a further 28 days.
The ATO says the penalty cannot be remitted, so unlike the administrative uplift there is no disclosure route out of it. Two qualifications matter, though: it reduces to nil under an exceptional circumstance determination, and if the ATO reduces the underlying charge the penalty reduces with it.
The Charge Is Now Tax-Deductible — This Reversed
For paydays from 1 July 2026, all four components of the super guarantee charge are deductible. The legacy quarterly SGC was expressly not, and that non-deductibility was much of what made it punitive. A great deal of published guidance — and, until recently, this site — still says the SGC cannot be claimed. That is now true only of the old charge.
Three things attached to the new charge remain non-deductible:
- general interest charge accruing on a late SGC payment
- the late payment penalty
- SGC relating to quarterly periods before 1 July 2026
Does Payday Super Mean Super on Overtime?
No. Overtime is still excluded.
Payday Super calculates SG on “qualifying earnings” instead of ordinary time earnings, and that sounds like a broadening. The ATO is explicit that the only additional payment type is commissions for work done entirely outside ordinary hours. Everything counted for SG up to 30 June 2026 still counts; nothing else was added. What changed is the timing and the penalties, not the base.
Still excluded, despite frequent claims otherwise:
- overtime, where ordinary hours are clearly identified in an award or agreement
- bonuses solely for work performed entirely outside ordinary hours
- annual leave loading linked to a lost opportunity to work overtime
- expense allowances expected to be fully expended
Included, as before:
- ordinary time earnings
- ordinary commissions
- performance, Christmas, sign-on and referral bonuses
- annual leave loading other than the lost-overtime kind
- task allowances for skill, adverse conditions or retention
- salary sacrificed amounts that would otherwise be qualifying earnings
The Maximum Contribution Base Became Annual
The maximum contribution base caps the earnings on which SG is compulsory. From 1 July 2026 it is an annual $270,830, replacing $62,500 per quarter. That is a change of structure, not just of number — it is now a running year-to-date test that resets each financial year, rather than four separate quarterly caps.
It is derived from the concessional cap: $32,500 × 100 ÷ 12, rounded down to the nearest $10. At 12% that caps compulsory SG at about $32,500 a year. Employers can always contribute more voluntarily. See our superannuation calculator to model contributions.
Concessional Cap Relief Is Announced, Not Law
More frequent contributions can shift which financial year some of them land in, which can push an employee over the $32,500 concessional cap through no fault of their own. Treasury said in February 2026 that it would introduce technical amendments to prevent this.
As at 28 July 2026, the ATO’s own changeover guidance still states in terms: “This is not yet law.” We could locate no bill. Until it is legislated the ordinary rules apply, and the existing options are the existing ones — reduce voluntary contributions, or apply to have contributions disregarded or reallocated. Do not plan around relief that does not yet exist. See our Division 293 guide for the related high-income charge.
The Old Quarterly Charge, for Earnings up to 30 June 2026
Still live, and still governing anything paid before the changeover. Under that regime the charge was:
- The shortfall calculated on total salary and wages including overtime, not OTE — so the charge exceeded the super actually owed
- Nominal interest at 10% a year, running from the start of the quarter, which by law could not be reduced or waived
- An administration fee of $20 per employee per quarter
- Choice liability capped at $500
- Not tax-deductible, and a statement had to be lodged
The final quarterly SG payment was due 28 July 2026, and the final statement is due 28 August 2026.
Frequently Asked Questions
Super guarantee charge questions and answers
What is the super guarantee charge?
The super guarantee charge (SGC) is what an employer owes the ATO when superannuation is not paid in full and on time. It is deliberately more expensive than paying the super would have been. Since Payday Super commenced on 1 July 2026 the charge has exactly four components for each payday: the individual final super guarantee shortfall, notional earnings on it at the general interest charge rate general interest charge, compounded daily, an administrative uplift of up to 60%, and a choice loading where choice-of-fund rules were not followed. A late payment penalty can follow later, but it is a separate penalty rather than part of the charge.
Do I still need to lodge a super guarantee charge statement?
Not for paydays from 1 July 2026 — the ATO now calculates the charge and issues a notice of assessment, and there is no statement to lodge. But the old obligation is still live for the June 2026 quarter and earlier. If you missed the 28 July 2026 due date for that final quarter, you must lodge a super guarantee charge statement and pay the charge by 28 August 2026. That is the last one there will ever be.
When does super have to be paid under Payday Super?
The contribution must be RECEIVED by the employee's fund within 7 business days of payday — not merely sent by then. That distinction catches people out, because clearing house and fund processing time counts against you. A longer 20 business day deadline covers two situations: a new employee, and a first contribution to a new fund for an existing employee after you stopped contributing to another one. A business day excludes weekends and public holidays, and a public holiday anywhere in Australia removes a day nationally.
Is the super guarantee charge tax-deductible?
Yes for paydays from 1 July 2026, which reverses the old position — the legacy quarterly SGC was expressly not deductible, and that was much of what made it punitive. All four components of the new charge are deductible. Two things attached to it are not: the general interest charge that accrues on a late SGC payment, and the late payment penalty. SGC relating to quarterly periods before 1 July 2026 also remains non-deductible. Guides still saying flatly that "the SGC is not deductible" are describing a regime that ended on 30 June 2026.
How is the super guarantee charge calculated?
Start with the shortfall — the super that should have been paid for that payday. Add notional earnings on it at the general interest charge rate, general interest charge, compounded daily, from the day the contribution was due. Add the administrative uplift, which starts at 60% of the shortfall plus notional earnings and can be reduced to nil. If choice-of-fund rules were not followed, add a choice loading of 25% of the value of contributions, capped at $1,200 for each notice period rather than per payday or per employee.
What is the current general interest charge rate?
11.43% a year for the July–September 2026 quarter, which the ATO publishes as a daily rate of 0.03131507%, compounded daily. It was 10.96% in April–June 2026. This rate resets every quarter and is the figure on this page most likely to go out of date — the next one is generally announced about two weeks before the quarter starts. Daily compounding is what makes an unpaid shortfall grow faster than most employers expect.
Can the administrative uplift be reduced to nil?
Yes, and it is worth understanding how because there are two separate reductions that stack rather than one test to pass. The uplift starts at 60%. Having no ATO-initiated assessment in the two years to that payday takes 20 percentage points off. Making a voluntary disclosure before an assessment takes off up to 40 more, depending on how fast you move: disclosing within 30 days removes the full 40. An employer with a clean two-year record who discloses within 30 days gets to nil. One who does neither stays at 60%. Because the disclosure reduction decays with time, disclosing quickly beats disclosing precisely.
What is the late payment penalty, and can it be waived?
25% of the outstanding charge, rising to 50% if you were liable for the same penalty in the previous 24 months. It is not part of the SGC and it does not arise automatically — it comes only after the charge is assessed, goes unpaid for 28 days, a Notice to Pay is issued, and it remains unpaid a further 28 days. The ATO says it cannot be remitted, so there is no disclosure route out of it, but it does reduce to nil under an exceptional circumstance determination, and if the ATO reduces the underlying charge the penalty reduces with it.
Does Payday Super mean super is now paid on overtime?
No, and this is the most common misconception about the change. Payday Super calculates SG on "qualifying earnings" instead of ordinary time earnings, which sounds like a broadening — but the ATO states that the only additional payment type is commissions for work done entirely outside ordinary hours. Everything counted for SG up to 30 June 2026 still counts, and nothing else was added. Overtime remains excluded where ordinary hours are clearly identified in an award or agreement, as do bonuses solely for work performed entirely outside ordinary hours and annual leave loading tied to a lost overtime opportunity. What changed is the timing and the penalties, not the base.
Is there a cap on how much super an employer must pay?
Yes. The maximum contribution base caps the earnings on which SG is compulsory. From 1 July 2026 it is an ANNUAL figure of $270,830, a structural change from the previous $62,500 per quarter. It is derived from the concessional cap: $32,500 × 100 ÷ 12, rounded down to the nearest $10. At 12% that caps compulsory SG at about $32,500 a year. Being annual, it is a running year-to-date test rather than a per-payday one, and it resets each financial year.
What were the old quarterly SGC rules?
They still govern earnings paid up to 30 June 2026, so they are not merely history. That charge was the shortfall calculated on total salary and wages rather than OTE — which made it larger than the super actually owed — plus nominal interest at 10% a year running from the start of the quarter, plus an administration fee of $20 per employee per quarter. It was not deductible, a statement had to be lodged, choice liability was capped at $500, and the interest could not be reduced or waived. One trap on the way out: the late payment offset is not available for the final June quarter, and contributions received on or after 29 July 2026 cannot be applied to it at all.
Will employees be pushed over their concessional cap by Payday Super?
It is possible, because more frequent contributions can shift which financial year some of them land in. Relief has been announced — Treasury said in February 2026 that it would introduce technical amendments — but as at 28 July 2026 the ATO's own guidance still states in terms that "This is not yet law." Until it is legislated, the ordinary rules apply: the concessional cap is $32,500, and the existing options are to reduce voluntary contributions, or to apply to have contributions disregarded or reallocated. Do not plan on relief that does not yet exist.
What happens if my employer has not paid my super?
Check your payslips and your myGov ATO account first. Under Payday Super contributions should land within roughly a fortnight of each payday, so a gap is now visible in weeks rather than months — that is the single biggest practical benefit of the change for employees. Raise it with your employer. If it is not resolved, lodge an unpaid super enquiry with the ATO, which can be done anonymously. The ATO can audit the employer and raise the charge, and the liability does not lapse quietly with time.
How this guide was verified▼
Every figure derives from a single constants file checked against ato.gov.au on 28 July 2026: the charge components and administrative uplift schedule from QC105848, payment deadlines from QC105846, qualifying earnings from QC105843, the general interest charge rate from QC16145, and the legacy quarterly regime from QC33743.
Three things commonly published about this charge are wrong and are corrected here: the late payment penalty is not one of its components, the administrative uplift is two stacking reductions rather than one all-or-nothing test, and the $1,200 choice-loading cap applies per notice period. The general interest charge rate resets quarterly, so the quarter it belongs to is printed beside it — the July–September 2026 rate is current and the next is expected mid-September 2026.
Sources & References
- 1What happens if you don't pay super correctly (QC105848)— Australian Taxation Office
- 2Payment deadlines for Payday Super (QC105846)— Australian Taxation Office
- 3What payments are qualifying earnings (QC105843)— Australian Taxation Office
- 4General interest charge rates (QC16145)— Australian Taxation Office
Last verified: 28 July 2026. Our content is based on the latest information from official Australian government sources.
James Harrington
Verified AuthorSenior Tax & Payroll Analyst
CPA, Registered Tax Agent (25787011)
James is a CPA-qualified tax professional with over 14 years of experience in Australian taxation and payroll systems. He spent six years at the Australian Taxation Office working on PAYG withholding and individual tax return processing before moving into financial publishing. He now leads the tax content at Pay Calculator Australia, translating complex ATO legislation into clear, actionable guidance.
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