Payday Super Is Coming

From 1 July 2026, Australian employers will need to pay superannuation at the same time they pay wages, not quarterly.

This shift, known as “Payday Super”, is now law and is part of the Federal Government’s plan to close Australia’s $6.25 billion super gap. The change ensures employees – particularly casual and part-time workers – receive their super contributions promptly and consistently.

What’s Changing

Under the new rules:

• Super must be paid each payday, aligned with your regular pay cycle.

• Payments must reach employee super funds within seven business days of each pay run.

• Late payments will trigger the Superannuation Guarantee Charge (SGC), which includes interest, admin fees, and the loss of tax deductibility.

• The Small Business Superannuation Clearing House (SBSCH) will close from 1 July 2026, as real-time super payment systems take over.

What This Means for Business Owners

While the change may create short-term adjustments for payroll teams, it ultimately simplifies compliance and reduces future headaches.

Here’s what businesses can expect:

• No more quarterly super crunch. Smoother, smaller, more manageable payments throughout the year.
• Lower compliance risk, as contributions are made in real time.
• Improved transparency for staff, who’ll see super accumulating with every pay cycle.
• Healthier cash flow management, since payments are spread evenly rather than in large quarterly outflows.

The Australian Taxation Office (ATO) has said it will take an “education-first” approach in the early stages, but this won’t remove your obligation to comply. Having systems ready ahead of time will help ensure a smooth transition and avoid lengthy adjustment periods.

What To Do Now

Begin preparing well before July 2026 to avoid disruption.

Here’s how to get started:

1. Check your payroll software

Ensure your system can handle super payments automatically in line with pay cycles. Many providers will release updates closer to implementation, so stay in touch with your payroll software support team or chat with the Attune team for advice.

2. Review your pay cycles and timing

Map out how the new seven-day window will affect your cash flow and internal processes, especially if you run multiple pay cycles across departments.

3. Plan ahead for cash flow changes

Smaller, more frequent payments mean steadier outflows, but you’ll still need to manage liquidity carefully. Consider testing the process early to ease the transition – there’s no penalty for this and if you need help setting it in motion, we’re here to help.

4. Educate and upskill your payroll team

Make sure your finance and HR staff understand the timing, compliance rules, and software features that will support payday-aligned payments. Again, we can provide guidance on understanding the changes.

Stay Ahead of the Change

Payday Super represents a positive shift toward transparency and fairness in superannuation, but it requires preparation. By planning early, reviewing your systems, and ensuring cash flow readiness, you’ll protect your business from unnecessary penalties and stay compliant from day one.

If you’d like expert help reviewing your payroll setup or preparing for the transition, the team at Attune Advisory can help you get ready well before the deadline.

Call us on 1300 866 113 or contact us via email to start the conversation.

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