From 1 January 2020, eligible individuals with multiple employers can apply to opt out of receiving super guarantee (‘SG’) from some of their employers, to help them avoid unintentionally going over the concessional contributions cap.
You may be eligible to opt out if you:
- have more than one employer, and
- expect your employers’ mandated concessional super contributions to exceed your concessional contributions cap for a financial year.
If this applies to you, submit the relevant ATO form to apply for an SG employer shortfall exemption certificate, which releases one or more of your employers from their SG obligations for up to four quarters in one financial year.
The measure only became law on 2 October 2019, so to give eligible employees time to make an application, the ATO will accept applications for the 2019/20 financial year as follows:
- third quarter commencing 1 January 2020 — lodge on or before 18 November 2019; and
- fourth quarter commencing 1 April 2020 — lodge on or before 31 January 2020.
A separate application is required for each financial year.
To read more about the SG employer shortfall exemption certificate or to apply, please visit this article from the ATO’s website.