Getting ready for SuperStream – counting down to June 30
23rd March, 2015
Will SuperStream be impacting your business?
If you have 20 or more employees, you have 100 days until (at publish date) you need to comply with the ATO’s SuperStream obligations.
SuperStream is a program to simplify reporting on and paying superannuation. What it means for you is that by 30 June you need to make super payments electronically (no more sending cheques) and also electronically provide contribution data (including your employees’ details and information about the payment).
The ATO has stated that failing to comply with SuperStream requirements can result in them undertaking taking further compliance actions including issuing direction notices and even imposing penalties.
Start planning now
You need to have a plan in place for complying, so here’s where you can start.
1. Determine if you need to be compliant by 30 June 2015
If you have 20 or more permanent employees, then you need to be compliant. If you have seasonal employees, then it depends on how many employees you had at 1 July 2014, and whether you’re classified as a small or large employer. The ATO website can help you determine whether you need to be compliant.
2. Collect the information you need to report
To correctly report super payments through SuperStream, you may need the following information:
a. The super fund ABN is required for all funds you make payments to.
b. A Unique Superannuation Identifier (USI/ SPIN) for APRA-regulated funds. The MYOB website has a list of the more common super funds and their ABNs and USI/SPIN. You can also contact the fund directly for this information, or use the resources on the ATO website.
c. Each employee’s tax file number.
d. Bank account details and an electronic service address for payments and reporting to self-managed super funds.
3. Check your payroll software is compliant
You need to be using SuperStream compliant software by 30 June 2015, so you may need to upgrade.
If you’re using MYOB AccountRight, the Pay Super feature is already cross certified by the ATO as Superstream compliant and is included as part of your AccountRight subscription. You can already make SuperStream compliant payments to APRA funds and payments to Self-Managed Super Funds (SMSF) are coming very soon. Click Pay Super in your software to sign up.
If you use MYOB Essentials, there will be a SuperStream compliant service delivered by the end of the financial year.
There will also be a SuperStream certified ready service for AccountRight Classic (v19) and AccountEdge clients. This service will be included free for clients who have a subscription or cover agreement.
4. Keep an eye on this blog
We’ll be posting more about SuperStream, including more helpful tips to make complying with the new ATO SuperStream requirements easier.
Subscribing or upgrading your MYOB software will ensure your business is always compliant with tax changes, including the government’s new SuperStream system for paying super contributions.