Important Information for Employers Regarding Wage Increases in 2023

STAFFORD, Australia - July 25, 2023 - PRLog -- On 1 July 2023, award rates of pay and the National Minimum Wage increased by 5.75%.

We recommend that all employers review their payroll systems to ensure they are applying the correct rates and Awards.

From 1 July 2023, the National Minimum wage has increased to $23.23 per hour ($882.80 per week for a full-time employee working a standard 38 hours week). The National Minimum Wage applies to workers not covered by an Award or registered agreement.

For casual employees, the minimum wage including the 25% casual loading is a minimum of $29.04 per hour.

For workers under an Award, adult minimum award wages increased by 5.75%, applied from the first full pay period on or after 1 July 2023. Proportionate increases apply to junior workers, apprentice and supported wages.

Employers if you incorrectly calculate wages it is considered "wage theft" and The Fair Work Commission will hand out fines of $9,390 per breach for a corporation.

In addition to the wage increase, the superannuation guarantee increased from 10.5% to 11% on 1 July 2023.

Please note, if the employment agreement with your workers states the employee is paid on a 'total remuneration' basis (base plus SG and any other allowances), then their take home pay might be reduced by 0.5%. That is, a greater percentage of their total remuneration will be directed to their superannuation fund. For employees paid a rate plus superannuation, then their take home pay will remain the same and the 0.5% increase will be added to their SG payments.

If you have any questions on payroll or other related matters, please contact us today on 07 3263 7030 or tax@mcfillin.com

We offer a wide range of business and personal accounting services, including bookkeeping services to clients of all sizes from small business accounting to medium and large enterprises. McFilin Accounting are based in Stafford, Brisbane and service clients across Queensland.