From 1 July 2026, employers will be required to pay superannuation at the same time as wages are paid.
This change is known as Payday Super.
Currently, many employers pay super quarterly. Under the new system, super contributions will need to be processed much more frequently.
This represents the most significant operational change to superannuation since compulsory super was introduced in 1992.
Why the Change Is Being Introduced
The goal of Payday Super is to ensure employees receive their superannuation earlier and to reduce unpaid super.
However, for many businesses this will require changes to payroll systems and cashflow planning.
The ATO’s Transitional Approach
The ATO recognises that moving to Payday Super will take time.
During the 2026–27 financial year, the ATO has indicated it will focus compliance activity on employers who:
• make no attempt to comply
• repeatedly fail to pay super
• ignore their obligations
Employers who make a genuine effort to comply and resolve issues quickly are unlikely to be the focus of compliance activity during the transition year.
What Businesses Should Do Now
Employers should begin preparing by ensuring:
• payroll software supports Payday Super
• payroll processes are updated
• cashflow planning accounts for more frequent super payments
Leaving this preparation until the last minute may create unnecessary stress once the rules begin.
Planning Ahead Makes the Transition Easier
Most businesses will need some preparation to transition smoothly to Payday Super.
Reviewing payroll processes early will make the change much easier when the new rules begin.