What Does Salary Including Super Mean?
How to unpack a "Total Remuneration Package (TRP) including 12% super" contract versus a "Base Salary plus super" contract, with step-by-step formulas.
Key Takeaways (FY 2026–27)
- The statutory Superannuation Guarantee (SG) rate is 12.0% of qualifying earnings / Ordinary Time Earnings for 2025–26 and 2026–27.
- In a "Package Including Super" contract, Base Salary = Total Package ÷ 1.12 (not Total Package × 88%).
- At $100,000 "including super", your taxable base salary is $89,285.71 and employer super is $10,714.29.
Base Salary + Super vs Total Package Including Super
Australian job advertisements and employment contracts express remuneration in one of two ways:
- Super Exclusive ("$100,000 + Super"): $100,000 is your taxable base cash salary. Your employer pays an additional 12% ($12,000) into your superannuation fund, bringing your total remuneration package to $112,000.00.
- Package Inclusive ("$100,000 Package Including Super" or TRP): $100,000 is the combined total of your base salary and your employer's 12% Superannuation Guarantee contribution.
Why You Divide by 1.12 (Not Subtract 12%)
A common mistake when reading a $100,000 package-inclusive offer is subtracting 12% ($12,000) to assume an $88,000 base salary. That is mathematically incorrect because the 12% Superannuation Guarantee is calculated as 12% of the base salary, meaning the total package equals 112% (1.12 × Base Salary):
Base Salary = Total Package ÷ (1 + Super Rate) = Total Package ÷ 1.12
Employer Super = Total Package − Base Salary = Base Salary × 0.12Applying this formula to a $100,000 package including 12% super in 2026–27:
- Base Salary: $100,000 ÷ 1.12 = $89,285.71
- Employer Super (12% of $89,285.71): $10,714.29
- 2026–27 Income Tax + Medicare Levy: $17,305.71 + $1,785.71 = $19,091.43
- Annual Take-Home Pay: $70,194.29 (compared with $77,480.00 on "$100,000 + super" — a $7,285.71 annual difference in cash in hand!)
Side-by-Side Comparison at $100,000 and $120,000 (2026–27)
| Headline Figure | Contract Structure | Taxable Base Salary | Employer Super (12%) | 2026–27 Net Take-Home |
|---|---|---|---|---|
| $100,000 | Base + 12% Super | $100,000.00 | $12,000.00 | $77,480.00 |
| $100,000 | Package Incl. 12% Super | $89,285.71 | $10,714.29 | $70,194.29 |
| $120,000 | Base + 12% Super | $120,000.00 | $14,400.00 | $91,080.00 |
| $120,000 | Package Incl. 12% Super | $107,142.86 | $12,857.14 | $82,337.14 |
Use our Superannuation Calculator to split any package amount, or compare two competing contracts directly in the Salary Comparison Calculator.
Official Statutory Sources
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