As you’ve likely heard, Payday Super is coming — and it’s one of the biggest changes to the superannuation system in years. We’ve put together a simple update to help you understand what’s changing, when it’s changing, and what you can do now to prepare.
What Is Payday Super?
‘Payday Super’ means employers will be required to pay employees’ superannuation the same day that their salary and wages are being paid, rather than quarterly. The payment must be received by the employees superannuation fund within 7 business days to avoid any late payment penalties.
This change aims to:
- Increase employees’ retirement savings
- Reduce unpaid or late super
- Improve visibility of contributions for both employees and regulators
When Does Payday Super Start?
The Federal Government has announced that Payday Super will commence from 1 July 2026. That gives employers and payroll teams time between now and then to:
- Update payroll systems
- Adjust internal processes
- Plan for cashflow changes
What Employers Need to Do Now
Early preparation now means fewer headaches later. Here’s what we recommend:
1. Start now – Align Payroll Cycles and Super Processes Now
Begin aligning your payroll and super processes so they operate together, not separately.
- Trial paying super more frequently to test cash‑flow impact
- Map out how approvals, timesheets, and onboarding will need to tighten.
- Starting now helps you uncover friction points before compliance becomes mandatory.
2. Engage Your Payroll Software Provider Immediately
Most major payroll systems (Xero, MYOB & QuickBooks) already support payday‑aligned super payments but you may need to make some changes to ensure they are enabled and functioning properly. Now is the ideal time to:
- Check that your current software has payday‑super features enabled
- Review your automation settings for super processing
- Confirm your pay‑run workflow is correctly configured
If you need help setting these features up, reach out to your software provider or contact us directly — we can guide you through the setup and ensure everything runs smoothly well before July 2026.
Adopting these habits now will make July 2026 feel like business as usual.
C&H Bookkeeping Services
With the upcoming Payday Super changes, having the right payroll and bookkeeping support in place is more important than ever. At C&H, we offer comprehensive bookkeeping services to support your payroll, superannuation, and compliance needs. Get in touch with our team today to see how we can help.
For advice, please contact C&H Accounting Group on enquiries@chcpas.com.au or (03) 9431 1420.
