Date: 4 December 2025
We want to keep you informed about Payday Super and how to prepare your business.
What is Payday Super?
Payday Super is the most significant change to Australia’s superannuation system in more than 30 years. From 1 July 2026, employers must pay employees’ Superannuation Guarantee (SG) contributions at the same time they pay salary and wages, rather than quarterly.
Under the reform, employers will be liable for the Superannuation Guarantee Charge (SGC) if contributions are not received by the employee’s super fund within the required timeframe. In most cases, this means within 7 business days after payday.
A longer period of up to 20 business days will apply for:
- New employees
- Rehired former employees
- Employees who change super funds
- Certain exceptional circumstances
- To ensure super is paid in real time, strengthening the link between earnings and super contributions.
- To address the persistent issue of unpaid super, which is estimated at $6.25 billion in the most recent financial year.
- Although 94% of contributions are paid on time, the change aims to close the remaining compliance gap.
- The government estimates an increase in revenue of $589 million over the first three years (from 2026–27).
- Employees are expected to benefit by an average of $6,000 over their working lives due to more frequent compounding.
- Employers must transition to an alternative clearing house or SuperStream compliant payment method before 1 July 2026.
- Existing benefits such as deemed delivery and deductibility at payment will no longer apply under Payday Super.
- Historical data from the SBSCH may not be portable (to be confirmed by the ATO).
- Payment through a clearing house will no longer deem receipt by the fund for SG compliance purposes.
- Review payroll processes and systems to prepare for payday aligned SG payments.
- Begin assessing alternative clearing houses or payroll platforms that support real-time super payments.
- Plan for process changes well ahead of the SBSCH closure.
