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Superannuation on Government-Funded Parental Leave Pay

Superannuation on Government-Funded Parental Leave Pay

  • Monday, 30 June 2025 13:57

From 1 July 2025, the Australian Taxation Office (ATO) will pay super on government-funded Parental Leave Pay – known as a Paid Parental Leave Super Contribution (PPLSC). To be eligible, each person must receive Parental Leave Pay from Services Australia for a child born or adopted from 1 July 2025.

PPLSC is based on the Superannuation Guarantee rate and will include an interest component. It will be paid as a lump sum after the end of the financial year in which Parental Leave Pay was received to the super fund where the eligible person’s superannuation contributions are currently being paid (including SMSFs).

The ATO will pay the first PPLSC in the 2026–2027 financial year.

If Parental Leave Pay is shared with another person, a superannuation contribution will be paid to each person’s superannuation fund, based on their portion of the Parental Leave Pay.

It is important that an eligible person:

  • continues to apply for Parental Leave Pay through Services Australia
  • updates their personal details and make sure their name and address match with the ATO, Services Australia, and their super fund.

 For more information about PPLSC, visit ato.gov.au/PPLSC

 

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