# ACC-0003 - Superannuation Guarantee Contribution

## Answer

### Minimum SG Contribution

**$2,220.00**

### Working

```
SG = OTE * rate
SG = $18,500 * 12%
SG = $18,500 * 0.12
SG = $2,220.00
```

The employee's OTE for the September 2025 quarter is $18,500. The SG rate from 1 July 2025 is 12%. Since the OTE is below the maximum contribution base, the full rate applies to the full $18,500.

Minimum superannuation guarantee contribution for the quarter: **$2,220.00**

### Controlling Authority

The controlling authority for the superannuation guarantee charge is the **Superannuation Guarantee (Administration) Act 1992** (Cth) (SGAA), together with the **Superannuation Guarantee Charge Act 1992** (Cth).

The SGAA establishes the employer's obligation to make SG contributions at the prescribed rate on an employee's OTE, and specifies the quarterly payment periods. The Superannuation Guarantee Charge Act 1992 imposes the superannuation guarantee charge (SGC) on employers who fail to meet their SG obligations, making the charge a tax debt collected by the Australian Taxation Office (ATO) under its administration.

The ATO administers both Acts and is the regulatory body responsible for enforcing the superannuation guarantee system.

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## Approach

This task required two things:

1. A straightforward arithmetic calculation: SG = OTE x rate = $18,500 x 12% = $2,220.00.
2. Identification of the controlling legislation. The superannuation guarantee system in Australia is governed by the Superannuation Guarantee (Administration) Act 1992 (Cth), which sets the rate and mechanics, and the Superannuation Guarantee Charge Act 1992 (Cth), which imposes the charge when the obligation is not met. The ATO administers both.