As a small-medium enterprise owner, you may be eligible to use the small business clearing house, so it’s certainly something you’ll want to know all about. Today, we’re going to discuss what the ATO super clearing house is, as well as how it can help your SME.
Firstly, What is the SBSCH?
The small business clearing house (also known as the SBSCH) is a free service provided by the ATO which lets businesses with 19 or fewer employees, or an annual aggregated turnover of less than $10 million, utilise.
The service lets your business make Super Guarantee (SG) contributions as a single electronic payment to the SBSCH. The Small Business Clearing House then distributes the payments to each of your employee’s super funds.
How Can You Benefit From the Small Business Clearing House?
Not only can you make all your super contributions in one easy (and secure) transaction, but the small business clearing house also lets you nominate a regular contribution amount for an employee. Small business owners only need to input employees’ details once and they are securely stored for future transactions.
Additionally, you can nominate someone other than the business owner to use the SBSCH on your behalf (such as a bookkeeper or payroll officer). Business owners can even use a credit card to make their Super Guarantee contributions, but keep in mind that you may be charged a fee by your financial institution.
The Small Business Clearing House is a free service (excluding those fees mentioned previously), saving small business owners not just money, but also time and effort in paying super contributions for employees.
How Can You Access the Small Business Clearing House?
To sign up for the small business clearing house, visit the ATO website. You’ll just need your Australian Business Number (ABN) or Withholding Payer Number (WPN), email address, and employees’ details. You’ll then be prompted to provide your business’s and employees’ details.
Payments made through the SBSCH usually only take a few minutes and the service is available to use 24/7.
For more information, check out the ATO’s guide to using the Small Business Clearing House.
Additional Resources for Small Business Owners
For some additional resources regarding running small business, please check out the following articles:
- Working Capital: What is it and Why Does Your Business Need it?
- 25 Ways to Grow Your Business Fast
- The Beginner’s Guide to Small Business Loans (Everything You Need to Know)
Want to find out how an unsecured business loan through Lumi can help your small business? Visit our website for more information.