Updated advice from the Australian Taxation Office (ATO) on who pays super to workers in the music industry.

A person playing guitar on stage with fairy lights in the background.

Many people working in the music industry are eligible for super guarantee, even if they have an ABN, issue invoices, perform occasionally, perform as a hobby, are retired or describe themselves as contractors.

Hiring the performer directly? Paying a band leader? Engaging a company? While the performance may look the same on stage, different arrangements can lead to different super guarantee outcomes.

Understanding who is liable to pay the performer is key in determining who may have super guarantee obligations.

Examples of common band payment arrangements

Paying band members directly

  • A venue engages three musicians and pays each of them separately for a performance.
  • The venue must consider each musician’s eligibility for super guarantee and pay it if they’re entitled.

Paying a band leader who distributes payment to the others

  • A venue engages a band and pays a lump sum to one band member. That band member then distributes payment to the other performers.
  • Unless an exception applies, the venue pays super guarantee only for the person it pays directly.
  • The band leader receiving the payment will need to pay super guarantee to the other band member.

Paying a band leader who acts as an agent for others

  • A venue engages a band and pays a lump sum to one band member, who is acting as agent for the other band members. The venue is aware of this agency arrangement.
  • The venue must consider each musician's eligibility for super guarantee and pay it if they're entitled, this is despite the band member distributing the lump sum payment to the other performers.

Engaging a company that represents the band

  • A venue hires a band through a third-party company and is liable to pay the company for the performance.
  • The venue would not pay super guarantee for the performers because its obligation is to pay a company rather than individual performers.
  • The company must consider if it’s liable for super guarantee for the performers it hires.

Need help?

The ATO has developed practical examples, guidance and checklists covering common music industry arrangements.

Visit ato.gov.au/SuperForPerformers for more information.