Is QE being used to cap to MCB or is Gross Earnings being used to cap to MCB
After selecting STP Maximum Super Contribution Base Capping in CFP, we have identified issue in how system applied capping. There was an employee who's taxable salary is $239,088.25 with $201,435.45 in Qualifying Earnings Amount (Year-To-Date) (PYT); when we processed QE payment of $28,391.23, the super was capped at $1,309.41 = 12% of $250,000 (Maximum Contribution Base in TXP) - $239,088.25 (Taxable salary in PYP). It would be really helpful if the CAL can use the Qualifying Earnings Amount (Year-To-Date) as part of the capping calculation. In the example provided above, employee would receive 12% super on QE payment of $28,391.23 as employee remain below $250,000 with addition QE of 28,391.23.
To be complied with ATO's approach
"If your payments of qualifying earnings to your employee reach the maximum contribution base in a financial year, you can stop paying the minimum super guarantee contributions for the employee for that year"
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I've tested this also and a non taxable non superable allowance is affecting the super capping. Logged with helpdesk