![\"Australian](\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/04\/4d0af530-3857-11f1-8cdb-e4a3e16dc1a1.png\")
Aussie workers are missing out on nearly $4,000 a year in super contributions and $150 million nationwide due to the rule. (Source: Getty) <\/p>\n Aussie workers are missing out on nearly $4,000 a year in super contributions and $150 million nationwide due to the rule. (Source: Getty) <\/p>\n
Aussie workers are retiring with $130,000 less in their superannuation<\/a>, due to a law that has been labelled \u201coutdated\u201d and \u201cdiscriminatory\u201d. Around 37,000 workers are caught out by the little-known rule<\/a>, which is estimated to cost them $150 million each year.<\/p>\n Under current laws<\/a>, domestic workers such as cleaners, housekeepers, nannies and carers who are employed in private homes and work less than 30 hours per week are excluded from mandatory superannuation payments<\/a>.<\/p>\n Advocacy group Super Members Council found each worker was missing out on nearly $4,000 a year in super contributions<\/a>. The vast majority of impacted workers are women (86 per cent), who are estimated to be missing out on about $126 million a year.<\/p>\n RELATED<\/p>\n The council is calling on the government to scrap the rule, as the Senate Economics Legislation Committee inquires into the laws that give rise to the exclusion.<\/p>\n \u201cCleaners, housekeepers and nannies are doing essential, paid work, yet the law still treats them as second\u2011class citizens when it comes to super \u2014 and that burden falls overwhelmingly on women,\u201d the Council\u2019s CEO Misha Schubert said.<\/p>\n \u201cWhen something is outdated, you fix it. Fixing these outdated laws would help close the gender super gap and boost the retirement savings of thousands of hardworking Australians.\u201d<\/p>\n Do you have a story to share? Contact tamika.seeto@yahooinc.com<\/a><\/p>\n The laws were originally designed to stop fees from eroding low-balance super accounts. But the council argued this no longer stacks up given there are fee protections on small super balances in place.<\/p>\n As part of the Protecting Your Superannuation Package<\/a>, there is now a 3 per cent cap on administration and investment fees for accounts with balances below $6,000.<\/p>\n Modelling found removing the rule could mean a typical part-time domestic cleaner retires with more than $130,000 extra in super, which would increase retirement income by around $4,500 a year.<\/p>\n The Council has also been calling for the same law to be scrapped in relation to under 18s<\/a> who are also not entitled to be paid super if they work less than 30 hours a week with the same employer.<\/p>\n The calls come ahead of payday superannuation<\/a> being introduced from July 1, with employers required to pay super at the same time as wages rather than quarterly.<\/p>\n Around 37,000 domestic workers, including cleaners, housekeepers and nannies, are impacted by the rule. (Source: AAP) <\/p>\n