This week, Verlie read in this newspaper article that from 1 January 2020 Employers will have to pay the Super Guarantee on all their employees’ income, including wages that have been salary packaged and / or salary sacrificed into their superannuation and she asked me what we needed to do to get ready for that change in legislation.
But as you can see from this article below that I wrote back in 2016, Daughterly Care never followed those minimum rules because we knew how financially beneficial it was for your financial position to receive superannuation for your retirement.
Whilst we welcome the change in the superannuation legislation from 1/1/2020, it’s business as usual for Daughterly Care, because we have always paid superannuation on your tax-free wages you salary packaged (up to $37,570 per year) and we also paid superannuation on your wages you sacrificed into your superannuation; even though we were NOT legally required to prior to 1 January 2020.
Newer team members should read on…
Dear Daughterly Care Caregivers
Yesterday ABC News (1) has reported that research called ‘The study, Overdue: Time for Action on Unpaid Super’, has been released by Industry Super Australia and Cbus and found that employers dodging superannuation payments are pocketing $3.6 billion per year from 2.8 million workers.
If you have read “Why We Started Daughterly Care – The Untold Story” you will know that Verlie worked for a Nursing Home in Lane Cove who did exactly what this report has found. The Nursing Home owner did not pay superannuation on any of Verlie’s wages, nor any of his other Nursing staff. That was particularly cutting given he drove a black BMW.
It’s truly appalling that in 2016 that:
- greedy employers continue to be able to get away with stealing their staffs’ superannuation; and
- the Government hasn’t put a system in place to proactively detect employers who don’t pay super and get them to pay the superannuation;
Given my financial services background I know how important superannuation is to fund the retirement of Australian workers so there was no way Daughterly Care would do the wrong thing.
How well do you know the organisation you are working with?
When Daughterly Care Community Services set up the salary packaging for our Caregivers, the legal rule is that you do NOT have to pay superannuation on amounts of salary that have been ‘salary packaged’. Further, we were advised that many NFP Charities do NOT pay superannuation on salary packaged amounts.
So I want to test how well you know the management of Daughterly Care Community Services (us) by getting you to answer a simple question using the new online survey software. Be re-assured that we can’t tell how you personally vote – we only see the overall result.
After responding to the poll, it will immediately show you the percentage of votes for each answer.
After you have voted pop down to the first comment below and you will see the actual answer.
Hey Daughterly Care Caregivers, the answer is yes we pay SGC Super on your income whether we pay you direct, package your income or sacrifice your income into superannuation. We don’t try to save money out of how you package your salary. Kate
If you checked your previous payslips and your payslips once you salary packaged. You will see that daughterlycares super contribution has not changed.. Thankyou verilie and Kate
I love how switched on you are Tina. We want our Caregivers to be fully rewarded for their exceptionally caring ways and their uncommon common sense. Kate
thanks Kate and Verlie!! Anyone who knows you will answer in the affirmative!! You are marvellously generous and caring people and I’m very glad to know you!!
You are very kind Robin. I love working in the aged care industry because Caregivers are such naturally kind, generous-spirited and thoughtful people.
That’s wonderful news ! Thanks Kate & Verlie you are both very generous people
Hello Denise, the opportunity for caregivers to salary package $18,450pa is the first wave of ‘caring for Caregivers’. The second wave is to give highly experienced and knowledgeable Caregivers like you the opportunity to earn more per hour. So we are working on that. 2017 is going to be a watershed year for our Caregivers.
Thank you Kate for looking after your dedicated carers. Kind regards, Christine Cowin
Hi Christine, it’s all about intention and trying every day to recognise and honour our Caregivers for all the amazing “emotionally intelligent giving and thoughtfulness” they bless our clients with. Deep relationship care produces the best outcomes for Elders.
Kate
Wow Kate and Verlie. You are really looking after your wonderful caregivers by paying super on their Salary Packaged benefits. Not many other service providers do this.
Hi Kathy, yes it costs us more, but that’s why Daughterly Care has a 9%pa turnover rate of Caregivers compared to the aged care industry average turnover rate of 25% – imagine losing 25% of your staff every year! This is just the beginning, 2017 is going to be an exciting year of implementing more strategies to improve the well- being of our Caregivers. Kate