Payday Super 2026 Is Coming: How to Prepare Your Business
From 1 July 2026, the Australian Government will introduce Payday Super one of the biggest superannuation changes in years. Instead of paying super quarterly, employers will need to pay super every payday.
For many Australian small and medium businesses, this will mean big changes to payroll, cash flow, and compliance. The sooner you prepare, the smoother the transition will be.
Here’s a practical guide to help you get ready.
What Is Payday Super?
Payday Super is a new rule requiring employers to pay superannuation at the same time they pay wages. That means super must be sent on each payday, payments must reach the employee’s super fund within 7 days, and funds then allocate the contribution within a few business days.
In simple terms: no more quarterly super. Super must move with wages.
Why the Change?
The Government is introducing Payday Super to reduce unpaid or late super, help employees grow their retirement savings sooner, and increase transparency across the system.
For businesses, it means more frequent payments and a closer link between payroll and super.
What This Means for Australian SMEs
1. More Pressure on Cash Flow
If you currently pay super quarterly, you’ll now need to pay it weekly, fortnightly, or monthly depending on your pay cycle. This means more frequent money leaving the business and less flexibility to delay payments.
2. More Admin and Compliance
Payroll systems must calculate and process super on every pay run. The ATO’s Small Business Super Clearing House will close in 2026. Late payments may also trigger penalties and the Super Guarantee Charge. Your processes need to be accurate and consistent.
3. Updated Systems and Software
Payroll systems will need to be set up for Payday Super. You may need to upgrade your software to ensure compliance and automation.
4. Better Transparency for Employees
Employees will be able to see their super contributions landing each payday, helping build trust and confidence in your business.
How to Prepare Now
1. Review Your Payroll Software
Check whether your system will support payday-based super payments.
2. Plan for Cash Flow Changes
Consider preparing projections based on your pay cycle to understand how more frequent payments will affect your cashflow.
3. Choose a Super Clearing House
With the SBSCH closing, now is the time to explore commercial clearing houses or integrated payroll–super solutions. It is important to consider your new solution has the necessary payment cycle to meet the new requirements, and of course what will it cost!
4. Train Your Team
Ensure your payroll, finance and HR teams understand the new requirements and update your internal processes.
5. Communicate With Employees
Let staff know what’s changing and why. This helps them understand the benefits and reduces confusion when they start seeing more frequent super contributions.
6. Get Support Early
Preparing early helps you avoid cash-flow stress, payroll errors and compliance risks.
Payday Super is a major change, but with the right systems and planning, your business can make the transition smoothly.
Our team of experts at SiDCOR can guide you through the transition, review your payroll setup, run a cash-flow model tailored to your pay cycle, and provide accurate information you can pass on to your team.
Get in touch with us on 1300 743 267 to prepare your business with confidence.