Payday Super Is Coming: What Your Business Needs to Know
- David Tilley
- Sep 23
- 2 min read
From 1 July 2026, employers will face a major change in the way superannuation contributions are made. Under the new payday super rules, super must be paid at the same time as wages, instead of quarterly. This is one of the most significant payroll reforms in recent years, and it will have practical, compliance, and cash flow implications for every business.
What Is Payday Super?
Currently, most employers make super contributions quarterly, which means there can be a lag of up to three months between paying wages and paying super. Payday super reforms will eliminate that lag. From July 2026, contributions will need to reach employees’ super funds within seven days of each pay cycle.
This change is aimed at ensuring workers receive their super sooner, but it does mean businesses will need to adjust their payroll and cash flow practices.
The End of the ATO Super Clearing House
As part of this reform, the ATO’s Small Business Superannuation Clearing House (SBSCH) will be phased out. The SBSCH was designed for the old quarterly system, and it will not support payday super requirements.
Here are the key SBSCH closure dates:
1 October 2025 – No new registrations.
30 June 2026 – Last day existing users can make payments.
1 July 2026 – Service closes permanently.
More than 200,000 small businesses currently using the SBSCH will need to move to a new provider before the deadline.
What This Means for Businesses
The shift to payday super will require changes in several areas:
Integration with payroll – Superannuation will need to be processed in every pay run.
Tighter timeframes – Contributions must reach funds within seven days of payday.
System changes – Employers using the SBSCH will need to switch to payroll software, a super fund clearing house, or a commercial provider.
Cash flow impact – Super will now flow out of the business more regularly. This increases the need for accurate forecasting and, in some cases, consideration of working capital finance to meet obligations.
Preparing for the Transition
Employers should not wait until 2026 to act. Transitioning early allows time to:
Test new payroll systems.
Update processes and staff training.
Review cash flow forecasts to ensure super obligations can be met each cycle.
How We Can Help
We can assist your business in preparing for payday super. This includes:
Cash flow forecasting – to understand the impact of more frequent super payments.
Working capital planning – to assess whether a finance facility may be needed to support the transition.
System review and setup – helping you choose the right payroll or clearing house solution.
Payday super is a significant shift, but with the right planning, your business can adapt smoothly.
If you would like to discuss how payday super will affect your business, or need assistance with cash flow planning and payroll systems, please contact our office.
