PAYG withholding, PAYG instalments and super get muddled all the time. We set them up correctly, report them on time through STP and your BAS, and make sure super is paid before it can become a personal liability.
Book a Chat Call (07) 5593 6060What we handle for PAYG and super:
The two get confused constantly, partly because they share a name. PAYG withholding is the tax you hold back from your employees’ wages and send to the ATO on their behalf. PAYG instalments are pre-payments toward your own income tax bill, so you’re not hit with the whole lot at year end. They’re separate obligations, reported in different ways, and we set both up correctly so the amounts are right and you’re neither over- nor under-paying through the year.
Single Touch Payroll (STP) means every pay run is reported to the ATO at the time you pay your staff – their wages, the tax withheld and the super accrued. Done properly it’s invisible; done badly it produces mismatches that surface at year end and annoy your employees when their income statements are wrong. We make sure your payroll software is set up correctly, each run reports cleanly, and the end-of-year STP finalisation is lodged on time so your team can do their own returns without chasing you.
Unpaid or late super is one of the few things that can become a personal liability for company directors – so it’s worth getting right. We calculate super on the correct earnings (it’s not always just base wages), remind you ahead of each quarterly due date, and make sure it’s actually paid and received by the fund in time, not just sent. Quarterly super is due 28 days after the end of each quarter, and the deadline is firm.
If super isn’t paid on time, it stops being tax-deductible and the business has to lodge a Super Guarantee Charge statement – which costs more than the super would have. Worse, unpaid super and PAYG can be pursued from directors personally through a director penalty notice. None of this is meant to alarm you; it’s simply why we keep a close eye on the dates. Paid on time, super is a routine cost. Left to slip, it’s one of the few business debts that can follow you home.
General information only – not financial or legal advice. Thresholds and tax rules change; confirm current requirements or speak to us before acting on anything you read here.
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