From 1 July 2026, employers must pay super at the same time as salary and wages (not quarterly). Contributions must also reach your employee’s super fund within 7 business days after payday. The change aims to reduce late or unpaid super and improve outcomes for workers.
Start preparing now to avoid last-minute changes to your payroll and processes.
Pay super on payday: Aligns with each pay run (weekly, fortnightly, monthly).
Meet the 7-day deadline: super funds must receive contributions within 7 business days after payday. First-time payments to a new employee/fund get 20 business days.
Report more in STP: you’ll report Qualifying Earnings (QE) and super liability via STP.
SBSCH is closing: Small Business Superannuation Clearing House closes on 1 July 2026; transition to alternatives now.
Systems will change: Super Stream/NPP improvements, clearer errors and a new member verification request (MVR): to validate fund details before paying.
Start planning now to ensure a smooth transition to Payday Super. Here’s how employers can get ready:
Check employee details Review and update employee information in your payroll system — including full name, TFN and chosen super fund — to prevent delays or rejected contributions.
Move to more frequent payments Start paying super weekly, fortnightly or monthly instead of quarterly. If your bookkeeper or tax agent manages payroll, align with them now.
Update your onboarding process Collect Choice of Fund details as early as possible for new starters to avoid missed or returned payments.
Review your payroll system Confirm your software supports more frequent super payments and is SuperStream and STP compliant. Your provider will advise when updates are available.
Align ABN and reporting details Ensure your ABN matches across SuperStream and STP to avoid processing errors.
Plan for cash flow changes Model the impact of more frequent super payments on payroll cycles, budgeting and cash flow.
Train your team Make sure payroll, HR and finance teams understand the new requirements, timelines and reporting obligations.
Transition from SBSCH (if applicable) If you use the Small Business Superannuation Clearing House, begin transitioning and download contribution history before 30 June 2026.
If you already pay super on payday, you’re ahead — from 1 July 2026, contributions will simply be allocated faster.
For more information: ATO checklist for employers
Super is calculated as 12% of Qualifying Earnings (QE).
QE includes ordinary time earnings, salary sacrifice contributions and other amounts paid to extended definition employees (for example, contractors paid for their labour).
For most employers, moving to QE won’t change the total super you pay.
Payday Super applies to most employees, including those under the extended definition of ‘employee’ — such as independent contractors paid principally for their labour, sportspeople and performers.
Most awards or agreements set out when employees must be paid. For guidance on changing pay frequency, visit fairwork.gov.au and search “frequency of pay”.
If a fund doesn’t receive the contribution within the timeframe (unless an extension applies for first payments), you must pay the SGC, which:
is assessed by the ATO
is calculated on QE
includes daily compounding interest at the general interest charge rate
includes an administrative uplift (may be reduced with voluntary disclosure)
is tax-deductible; penalties for not paying SGC are not deductible.
Payday Super Hub
ATO Checklist for Employers
About Payday Super
Fair Work - Pay Frequency