Changes to how employers pay superannuation take effect on 1 July 2026, most notably the introduction of Payday Super and the closure of the ATO Small Business Superannuation Clearing House (SBSCH). These changes alter employer obligations for super guarantee payments, reporting, payroll processes and compliance risk.
What’s changing?
- Payday Super starts: Super must be paid on payday
From 1 July 2026, employers must:
- pay super guarantee (SG) contributions at the same time as employee wages are paid, and
- ensure contributions are received by the employee’s super fund within 7 business days of payday for most employees.
This replaces the current system where employers pay super quarterly.
Important timing exception:
For new employees, the first super payment must be made within 20 business days of the first salary or wage payment, giving employers time to confirm fund details.
- New definition – Qualifying Earnings (QE)
Super must be calculated on qualifying earnings (QE), a streamlined base that combines ordinary time earnings (OTE) and other relevant pay components. This aims to simplify and replace separate definitions of earnings for super.
- Reporting changes via Single Touch Payroll (STP)
Employers will need to report:
- Employees’ qualifying earnings, and
- Total super liability on each pay run through their STP payroll system. This enables earlier visibility of unpaid super and faster compliance checks by the ATO.
- SBSCH closure and transition
The Small Business Superannuation Clearing House (SBSCH) will close from 30 June 2026. New registrations have already ended. If you use the SBSCH currently, you must transition to another SuperStream-compliant payment option before it closes.
- SuperStream updates
SuperStream standards are being updated to:
- Support faster payments (including via the New Payments Platform)
- Improve member verification before payment, and
- Deliver quicker error reporting so issues can be fixed promptly.
- Penalty and compliance framework
- Late super or shortfalls may trigger the Super Guarantee Charge (SGC).
- SG payments that are late can be tax-deductible for employers.
- Traditional SG charge statements are abolished and replaced by voluntary disclosure statements for employers to seek remissions or reductions.
- The old 200% penalty for unpaid super is replaced by a lower late lodgement penalty of up to 50% of the SG charge.
- The reform also removes distinctions like ordinary times earnings limits, increasing visibility of compliance through data matching by the ATO.
What this means for your business
From 1 July 2026, you must:
✅ Pay super on payday, not quarterly
✅ Ensure super contributions are received by the fund within 7 business days
✅ Train payroll and HR teams on qualifying earnings and new reporting requirements
✅ Update or replace clearing house arrangements
✅ Work with your payroll software provider to deliver STP reporting that includes super liabilities
✅ Ensure employee agreements clearly define payable events and link all loadings to payroll rules for consistent processing.
If your current payroll process, software or accounts system cannot support these changes, you’ll need to upgrade or adjust before the reforms start.
What you need to do to prepare
- Review your payroll processes
Check your payroll system’s ability to calculate qualifying earnings, support SG on each pay run, and deliver STP reporting that includes super data.
- Talk with your software provider or accountant
Ensure they are ready to support the new requirements, reporting fields and payment timing.
- Transition from SBSCH
Plan now for a replacement SuperStream-compliant clearing or payment service before 30 June 2026. The ATO has developed a guide to support employers in this transition.
- Update internal controls & data
Ensure employee super fund details are accurate, staff are trained and mapping across payroll, HR and finance systems is correct.
- Access the ATO’s guidance and checklists
The ATO has issued resources including a Payday Super checklist to help employers get ready. The full range of Payday Super resources can be access at www.ato.gov.au/paydayresources.
- Standardise employee agreements to clearly define payable events and payroll outcomes
Ensure all employee agreements are current and explicitly define payable events (e.g. waiting time, early arrivals, detention), with loadings mapped to clear payroll rules to enable consistent, ease of processing.
- Educate and regularly brief directors
Educate directors on the financial and personal consequences of superannuation non‑compliance.
Questions or help?
If you are a member and have questions or need assistance with how these changes affect your business, reach out to NatRoad’s HR Advisor on 1800 272 144 or via email at [email protected]
To become a member, call our membership team on 1800 272 144 or sign up online.
