From 1 July 2026, superannuation will no longer be a quarterly obligation. Instead, contributions must be paid on each payday and received by the employee’s super fund within seven business days. The intention is clear: to ensure employees receive their super in real time, reducing unpaid or delayed contributions and improving retirement outcomes.
Alongside the timing change is a shift in how super is calculated. Contributions will be based on Qualifying Earnings - ordinary time earnings plus any salary sacrifice amounts - at a rate of 12%. This will require payroll systems to clearly identify and report these earnings, with updated Single Touch Payroll reporting ensuring the ATO has near real-time visibility.
For businesses, this is less about an extra compliance burden and more about a structural change. Payroll workflows that were built around quarterly payments will need to evolve. Software must be capable of calculating Qualifying Earnings correctly and triggering super payments automatically with each pay run. Those who leave this transition too late risk unnecessary stress as the deadline approaches.
Running parallel to Payday Super is the retirement of a service many small businesses have relied on for years: the ATO’s Small Business Superannuation Clearing House (SBSCH).
From 1 October 2025, new registrations will no longer be accepted. Existing users can continue using the service until 30 June 2026, but from 1 July 2026 it will be fully closed, and any attempted payments will simply be rejected.
This change means every employer currently using the SBSCH will need to find an alternative clearing house well before the Payday Super reforms commence. Leaving this decision until mid-2026 could result in rushed implementations and avoidable compliance risks.
The good news is that employers are not short on options. In fact, for many businesses, the transition may be simpler than expected.
Integrated payroll solutions such as Xero Auto Super, QuickBooks Online with Beam, and MYOB PaySuper are designed to handle both super payments and Single Touch Payroll reporting seamlessly. For businesses already using these platforms, enabling the built-in solution is often the most efficient and least disruptive approach.
Some employers may prefer clearing houses offered directly by super funds, such as AustralianSuper’s QuickSuper or Prime Super’s Clearing House, which provide straightforward, SuperStream-compliant payment options. For larger businesses or those with complex payroll structures, independent providers like SuperChoice or ClickSuper offer advanced features, scalability, and deeper integrations.
The right choice ultimately depends on payroll complexity, workforce size, and existing systems - but the key is making that choice early.
While the official start date for Payday Super is still some way off, the most successful transitions will be those that begin well in advance. Early action allows time to test systems, refine workflows, train staff, and ensure that payroll and super processes run smoothly together.
It also sends a strong message - to employees and regulators alike - that your business takes compliance seriously and is committed to keeping pace with change.
Superannuation is no longer something that sits quietly in the background of payroll. It’s moving front and centre, becoming a live, ongoing obligation tied directly to each pay cycle.
If you’d like support reviewing your payroll systems, selecting the right clearing house, updating Single Touch Payroll workflows, or mapping out a smooth transition plan, we’re here to help.
The earlier the conversation starts, the easier the journey will be.