Your fortnightly contribution is based on your superannuation salary as at 1 May (superable salary), which includes:
- base salary,
- higher duties (of greater than 12-months duration), and
- approved allowances.
Superannuation salary does not generally include:
- recreation leave allowance (leave loading),
- expense allowance,
- travelling allowance,
- performance pay,
- overtime, or
- other payments of a temporary or unpredictable nature.
If you have been on continuous higher duties for at least 12 months as at 1 May in any calendar year, then the higher salary will automatically apply to your superannuation. Your annual contribution adjustment at 1 July will be made using the higher salary and the entire higher salary period will be eligible to be included for Final Average Salary (FAS) purposes.
If you have been on various higher duty classification continuously for 12 months, the salary for the lowest paid higher duty assignment will count.
ESSSuper has approved a number of allowances for superannuation purposes and your employer should be aware of any superable allowance relevant to you. Not all approved allowances are superable.
Can your superable salary be reduced?
Your superable salary will generally not reduce. Special conditions apply for executives and contract officers (please refer to your Payroll Department).
You may choose to reduce your superable salary and accordingly the amount of personal contributions due to the following:
- if you have lost an allowance that was previously used to increase your superable salary, or
- due to a salary reduction because of a change in your employment circumstances, or
- by electing that a higher duty allowance will not count when it becomes superable after 12 months.
What conditions apply when you reduce your superable salary?
- Your election is binding once it is lodged.
- From the date of the lodgement of the election your final average salary is reduced for any future benefit calculation. This will impact your future benefit entitlements.
- Your contribution rate will be adjusted from the first available pay day after the election is lodged.
- There will be no refund of excess contributions made by you prior to the lodgement.