Increase in Super Guarantee & Minimum Wage
22 June 2021
On 1 July 2021, the superannuation guarantee and minimum wage will increase.
Increase in Superannuation Guarantee
On 1 July 2021, the superannuation guarantee rate is rising from 9.5 to 10%. The new rate will need to be applied for salary and wage payments paid on or after this date.
To reflect these changes, you may need to update your payroll/accounting software.
Xero will automatically update, find out more information about this here.
More information from the ATO about the increase can be found here.
Increase in Minimum Wage
The Fair Work Commission has awarded a 2.5% increase to the minimum wage to $20.33/hr following the 2021 Annual Wage Review.
The increase will not affect employees who currently get paid above the new minimum wage requirements.
The changes will apply from 1 July 2021 and will roll out in 3 stages.
Stage 1 - 1 July 2021: Most awards will change.
Stage 2 - 1 September 2021: Retail Award wages will increase.
Stage 3 - 1 November 2021: Other awards (which were deemed that there were exceptional circumstances by the Fair Work Commission) will increase. These include:
- Pilots Award
- Cabin Crew Award
- Airline Ground Staff Award
- Airport Award
- Alpine Resorts Award
- Amusement Award
- Dry Cleaning and Laundry Award
- Fitness Award
- Hair and Beauty Award
- Hospitality Award
- Live Performance Award
- Models Award
- Marine Tourism and Charter Vessels Award
- Nursery Award
- Racing Clubs Events Award
- Racing Ground Maintenance Award
- Registered Clubs Award
- Restaurant Award
- Sporting Organisations Award
- Travelling Shows Award
- Wine Award
If an employee isn't on an award and is being paid the minimum wage the increase will apply from 1 July 2021.
You can find out more information here or contact your local Boyce representative if you require any further information.