Does a base salary include super and income tax in Australia?

Under Australian legislation, your employer must generally pay 10.5% on top of your salary into a super fund.

This means that your base salary is before Super.

It is also before tax.

So, if you earn $76,700 as a base wage, your employer must pay an extra $8,053.50 into your Super fund, as the compulsory super payment.

Some employers would state the above as a salary package of $84,753.50 ($76,700+$8,053.50).

However, the term salary package (also salary sacrifice) can also be used for a package that reduces tax by various means. It can get complex.


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