How much is the super guarantee charge?

The three components for quarters up to 30 June 2026

There is no flat penalty rate. The charge is built from three parts, and each one pushes the total above the contribution you missed:

• SG shortfall. 12% of the employee's total salary and wages for the quarter, including overtime and other amounts that are not ordinary time earnings. Normal super is only calculated on ordinary time earnings, so the shortfall is usually larger than the contribution you missed. A choice liability of up to $500 is added if you ignored an employee's fund choice.
• Nominal interest. 10% per year on the shortfall, running from the first day of the quarter, not the due date, until you lodge the statement or the ATO assesses you.
• Administration fee. $20 per employee, per quarter.

A worked example: an employee earned $20,000 in the quarter, of which $18,000 was ordinary time earnings. On time, the super was $2,160. Paid late and reported five months after the quarter began, the charge is roughly $2,400 in shortfall, $100 in nominal interest and $20 in administration, about $2,520. The gap looks modest until you multiply it across staff and quarters, and then add the tax you lose because the SGC is not deductible.

What gets added on top

The three components are only the starting point. Other amounts attach depending on what you did next:

• General interest charge. If the SGC is not paid by the statement due date, GIC accrues daily on the unpaid balance at 11.43% p.a. for July to September 2026. GIC incurred since 1 July 2025 is not deductible.
• Part 7 penalty. Lodging the statement late, or not at all, can attract an additional penalty of up to 200% of the SGC. The ATO commonly remits some or all of it, but remission shrinks fast if the ATO had to chase you.
• Director penalty. For a company, each director becomes personally liable for the unpaid SGC. Read more at am I personally liable for unpaid super.

Where the fund received a late contribution by 30 June 2026 for a quarter ending on or before 31 March 2026, a late payment offset election can reduce the shortfall and nominal interest, but not the administration fee.

The redesigned charge for pay days from 1 July 2026

Under payday super, super is due within 7 business days of each pay day, and the charge for missing it is worked out per pay day rather than per quarter:

Two things follow. A short delay that you fix yourself costs very little: a $2,400 contribution paid 25 days late produces well under $50 in notional earnings, and a prompt disclosure can take the uplift to zero. Leaving it unpaid until the ATO assesses costs much more, because the uplift then applies to the whole shortfall, and a late payment penalty of 25% of the charge (50% for a repeat within 24 months) applies if you ignore the notice to pay for 28 days. The redesigned charge is deductible, apart from GIC and that penalty.

What to do next

1. List each unpaid or late quarter and the total salary and wages for each affected employee.
2. Use the ATO's SGC calculator in Online services for business, or ask your accountant, to work out the exact charge before you lodge.
3. If you cannot pay the full amount, lodge the statement on time anyway and set up a payment plan, because lodging late costs far more than paying late.
4. For pay days from 1 July 2026, pay any shortfall now and lodge a voluntary disclosure to keep the uplift as low as possible.

More questions: 8 Super guarantee charge questions questions answered · Full guide: Super guarantee charge (SGC)