t2529 Posted June 19, 2019 Share Posted June 19, 2019 Hi everyone, I'm trying to work out my tax and super situation. Let's say I use the following link to calculate my pay: https://www.paycalculator.com.au/#70000|0|2019|9.5|5,250,8,40,50|100000 The results I get are as follows: 1. Salary = $70,000.00 2. Pay = $51,446.94 3. Taxable Income = $63,926.94 4. Superannuation = $6,073.06 5. Total Taxes = $12,480.00 6. Income Tax = $12,323.00 7. Medicare = $1,278.54 8. Other taxes and Levies = $.00 9. Tax Offsets = -$1,121.10 What I don't understand is that, per the below, my super percentage of salary is 9.5% so this should be (A) however it is (4) meaning a shorfall of (B) A. Superannuation (9.5%) = $6,650.00 B. Shortfall between this and above = $576.94 Can anyone explain please how the figure for superannuation is generated? It would appear the percentage applied is 9%. Thank you Quote Link to comment Share on other sites More sharing options...
NickyNook Posted June 19, 2019 Share Posted June 19, 2019 If your $70k salary includes superannuation then your actual pay is correctly $63926.94. The 9.5% super amount is not 9.5% of $70k. It is 9.5% of $63926.94, which when added to $63926.94 totals $70k. Only if superannuation is in addition to your $70k salary, then it would be 9.5% of $70k. 2 Quote Link to comment Share on other sites More sharing options...
Ken Posted June 19, 2019 Share Posted June 19, 2019 (edited) 12 hours ago, t2529 said: Hi everyone, I'm trying to work out my tax and super situation. Let's say I use the following link to calculate my pay: https://www.paycalculator.com.au/#70000|0|2019|9.5|5,250,8,40,50|100000 The results I get are as follows: 1. Salary = $70,000.00 2. Pay = $51,446.94 3. Taxable Income = $63,926.94 4. Superannuation = $6,073.06 5. Total Taxes = $12,480.00 6. Income Tax = $12,323.00 7. Medicare = $1,278.54 8. Other taxes and Levies = $.00 9. Tax Offsets = -$1,121.10 What I don't understand is that, per the below, my super percentage of salary is 9.5% so this should be (A) however it is (4) meaning a shorfall of (B) A. Superannuation (9.5%) = $6,650.00 B. Shortfall between this and above = $576.94 Can anyone explain please how the figure for superannuation is generated? It would appear the percentage applied is 9%. Thank you The software you are using is obviously faulty. The figure they have called Taxable Income is your actual Salary, whereas the figure they have called Salary is your Salary package including Super. Since employers can't deduct Super contributions from your salary it is totally wrong to call the $70K in the example Salary. The figure they have called Pay is also a misnomer. They've taken the Taxable Income (i.e. the real Salary) and deducted a Total Taxes figure which is net of Tax Offsets. You will get the benefit of those Tax Offsets when you submit your tax return but they won't be adjusted in your Pay. Tax withheld from someone on a salary of $63,926.94 would actually be $1,135 per month or $262 per week. If you are actually going to get a salary of $70,000 your net pay would be ($5,833.33 - $1,313) = $4,520.33 per month or ($1,346.15 - $303) = $1,043.15 per week. Your employer has to pay 9.5% Super on top of that. Edited June 19, 2019 by Ken 1 Quote Link to comment Share on other sites More sharing options...
t2529 Posted June 19, 2019 Author Share Posted June 19, 2019 Hi Ken, This all makes sense now - thank you. Quote Link to comment Share on other sites More sharing options...
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