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I'm new to testing for superior and so far my own lines are a work in progress. Atm I cull any worse than or AGA stud colts. I keep any colt that tests the same as or superior to my benchmark stud colt. My Benchmark colt would be any colt that tested superior to sire, and it would be the same gen of the ones I'm testing against. After that I keep one or two of the best ones.

Mares I'm a little more lenient on and only cull for paper and pt level. In the future I will not be allowing AGA to stay in my breeding herd.
I like my 2g colts to test SUP and be A papered. Mares I'm only focused on pt and red or blue papered at 2g. By 3g I like my mares to be blue papered, or kept to max them out and hope for the best. 3g colts have to be A papered and test superior.

You could do something like that until things get going, but like I said I'm just starting out as well so I have no clue what future generations will be like.

I too have been culling for pt. Mostly it's for pt lower than 10 at 2g and 3g, but honestly that's for my own personal preference.

Yep! I agree with Hayes. I start with B/Red foundations, 2G must be A/Blue, 3G must test superior and 4G must be Gold/Star. I've gotten a few 5G foals and they all have to test superior also. I VERY rarely keep things that are AGA, I've boosted 1 of 2 foals since the max out update but found with the breeding stock I have now I get a fair number of acceptable foals that I don't need to max out unless it's a foal I just CAN"T give up.

Good luck! Don't stress too much about having it perfect, just have fun!

Superior status is not inherited. It only tells you about how the horse compares to its parent. It can not tell you if a horse will be x quality of a breeder. A horse that tests worse than its parents can still be a far better breeder than one that tests superior.

If you have the room, keep everything! As you have noticed, those AGA mares can indeed produce superior foals, it's just that the better mares are more likely to produce better foals.
What I do is SBA everything, stallions must be superior, so the mares that pass SBA are at worse only going to be one level behind the stallions. So I never go through and comparison test the mares, I use the SBA to weed them out. For me the ones that don't pass just go to the show barns, so doesn't really matter to me if a mare only produced show horses in the next generation, I still get plenty intact.
By keeping the stallions quality high, it automatically keeps my mare quality high, even if not quite as good as the stallions. You shouldn't get mare lag if the stallion they were by was high enough quality.
However if you have too many intact horses, and want to cut down and only keep the best, absolutely comparison testing your mares can help cut them down so only breeding the best

I use yellow foundation mares in the lower eras, as there is only Yellow and C for the youngest Era. But once they are the next level Era and produce exceptionals, I just use one exceptional parent so I can make an A papered gen2 stallion. He then can go over all my gen2 red mares, from Yellow/C crosses and pick up the quality of their foals. Yellow/C crosses are the only time I manually spay my mares, as I spay all the Yellow papered ones and just keep Red