Retirement provision for directors is now afforded in essentially the same manner as for most executives and other employees, via the Superannuation Guarantee Charge. In some cases, companies will base the SG payment on the actual fees, rather than restricting the calculation by reference to the maximum contribution base.

There is also an opportunity in some companies for directors to “fee sacrifice” in exchange for superannuation or shares, as there is for employees.

© Guerdon Associates 2024 Back to all articles