3 minute read

From 1 July 2026, Australian employers will be required to pay superannuation at the same time as employee wages.

This reform is known as Payday Super and changes when super must be paid, rather than how much is paid. The Superannuation Guarantee rules themselves are not changing, but employers will no longer be able to pay super quarterly. For businesses that currently pay super every three months, this means adjusting payroll processes and planning for more frequent super payments.

Key takeaways for employers

• From 1 July 2026, super must be paid each time employees are paid, rather than quarterly. 
• The amount of super you pay does not change, but payments will be made more frequently. 
• Businesses should review payroll systems and cash flow planning ahead of the change. 
• Preparing early will help ensure systems and processes are ready well before the new rules commence. 

What is changing?

Currently, employers must pay Superannuation Guarantee contributions at least quarterly. Under the Payday Super reforms, employers will need to:

• Pay super each time employees are paid (weekly, fortnightly or monthly) 
• Ensure contributions reach the employee’s super fund within seven days of payday 
• Continue meeting existing super guarantee requirements, including calculating and reporting super correctly. 

The key change is that super payments will now be aligned with payroll, rather than being paid in quarterly installments.

Employers who use a super clearing house should allow time for processing, so contributions reach the employee’s fund within the required timeframe.

Why is this changing?

The reform is designed to address the issue of unpaid or delayed superannuation.

Under the current system, unpaid super may not be detected for several months. Paying super at the same time as wages helps ensure employees receive their super sooner and improves transparency of payments. 

What this means for small businesses

For most businesses, the cost of super does not change. The main impact will be how and when payments are processed. Businesses that currently pay super quarterly may need to:

• Adjust payroll processes so super is calculated with each pay run 
• Ensure payroll software can process super payments more frequently 
• Review cash flow planning, as super payments will be made more regularly

Most modern payroll systems are expected to support Payday Super automatically, however employers should still confirm their payroll setup and processes will meet the new timing requirements. A conversation with your bookkeeper is advisable.

Final thoughts

Payday Super is intended to improve the reliability and transparency of Australia’s superannuation system. For most small businesses, the key change will simply be moving from quarterly super payments to paying super when wages are paid. Reviewing payroll systems and processes now can help ensure your business is well prepared ahead of the changes taking effect in July 2026.

Your Next Step

Although the changes begin in July 2026, taking some simple steps now can help ensure a smooth transition.

• Review your payroll software: Confirm your payroll system can process super contributions with each pay run; speak with your Bookkeeper if you have one.
• Check your clearing house arrangements: Ensure super payments are submitted early enough to reach employee funds within the required timeframe.
• Review cash flow planning: Super will need to be paid more frequently, so it should be treated as a regular payroll expense.
• Confirm employee super details: Accurate fund details will help avoid delays when contributions are processed.