The Superannuation Guarantee stipulates that at least 9.5% of an employees wages must be paid into their super fund, as long as they work a certain number of hours. This 9.5% is paid is on top of your wages, and is the minimum amount required – your employer can pay more if they see fit.
However, the calculations for this 9.5% are only based on your ordinary time earnings (OTE). OTE is generally what an employee will earn during their ordinary hours of work, and includes commissions and allowances. It does not include overtime payments.
For example, if you are contracted to work between 9-to-5, then you are only paid super for these hours – you will not get any extra super if you work until say, 6pm, unless your employer decides otherwise.
The following table contains details of the superannuation funds rated by Canstar based on someone aged 30-39, with a super balance of upto $100k. This table has been sorted by three-year performance (highest to lowest).
Please note that the performance information shown in the table is for the investment option used by Canstar in rating of the superannuation product.
To view the past performance of all super funds, rated by Canstar, use our comparison tool:
What does ordinary time earnings include?
OTE includes the following things:
- Over-award payments
- Commissions
- Agreed-upon rate per task completed
- Shift-loading
- Allowances
- Performance bonuses
- Christmas bonus
- Annual leave
- Termination payments in lieu of notice
This should give you a general idea of whether the work you’re doing qualifies for super payments. Visit the Australian Tax Office (ATO) for more information. You can also visit Canstar’s superannuation home page to learn more about your super options.
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