Workers paid on ‘including super’ basis may get a shock on July 1
Workers paid on ‘including super’ basis may get a shock on July 1
Almost two-thirds of companies with a ‘total package’ approach plan to offset at least some of the cost of higher super contributions by reducing employees’ take-home pay.
Got an email from payroll on Friday. Legislated super increase will be decreasing my take home pay come July. PSA to all the rest of you on TFR contracts.
"Including super" is such a rort. For anyone taking on a new contract between now and 2025 (when the super guarantee increments stop), PLEASE negotiate for a "before super" contract.
E.g. If you've been offered $80k including super, negotiate for (80,000 / 111 * 100) == $72,072 excluding super.
This means that if in the next 2 years your pay is stagnant, you would end up with (72,072 * 112/100) == $80,720 -- a whopping $720 more towards your super, come July 2025The government should really just close the loophole.
Are you in an industry where it is easy to find a new employer? Easiest way to get a pay rise is finding a new employer.