The Short Version: Super Every Payday, Not Every Quarter

From 1 July 2026, employers will need to pay their employees’ super at the same time as wages, instead of quarterly.

That means every time you run payroll, your employees’ super will also need to be paid into their funds… not three months later.

Same money, just sooner.

This Isn’t a New Expense, It’s a Timing Shift

The amount of super you pay isn’t changing… what IS changing is when you need to pay it.

Right now, businesses have the benefit of:

Holding onto the cash for the whole quarter before it’s due, or
Building up the funds across three months to pay at the end.

From 1 July 2026, that buffer disappears. You will need to pay super with each pay run instead of quarterly.

There may be short-term cash flow pain, but a little planning goes a long way.

Our recommendation? Start trying to build the habit now (even if you can’t do it every pay just yet) so that when the rule does kick in, it feels normal.

**What’s Actually Changing?**

Here’s what the Treasury Laws Amendment (Payday Superannuation) Bill 2025 and related legislation will bring in:
Super must be received by the fund within seven business days of payday.
“Qualifying earnings” will replace “salary and wages” as the definition of what attracts super.
The ATO’s Small Business Superannuation Clearing House (SBSCH) will be decommissioned from 1 July 2026.
Super funds will have less time to allocate contributions (down from 20 business days to just 3).

The maximum contribution base will move from quarterly to annual.

Penalties will tighten: late or missed payments will accrue daily interest, plus administrative penalties.
The ATO will use Single Touch Payroll (STP) data to identify non-compliance in real time.

The goal? To close the “super gap” ( the billions of dollars in unpaid or delayed super for individuals across Australia) and help employees grow their retirement savings faster.

Top 10 Action Items for Business Owners

Here’s how to get ready, and make the change as painless as possible:

Remember, it’s not extra cost, it’s just being paid sooner.
Super amounts stay the same; payment timing changes.
Review your cash-flow rhythm.
More frequent payments mean funds move earlier. Plan ahead for tighter cash timing.
Talk to your accountant.
We can help you model the cash-flow impact and set up the systems you need.
Check your payroll software.
Make sure it can process and send super automatically each pay cycle.
Start practising now.
Begin setting aside the super portion each payroll (even if you still pay quarterly). This will make the change less painful when it’s really necessary.
Move to monthly or fortnightly payments early.
Transitioning gradually will help your business adjust without shock
Adjust your budgeting cycle.
Bring your cash-flow forecasting forward from quarterly to monthly or fortnightly.
Communicate with your team.
Let your team know they’ll soon see super going in more regularly - it’s a positive change for them.
Automate and schedule payments.
Avoid late payments and penalties by setting up automatic super transfers.
Stay informed.
Keep an eye on ATO updates as the final legislation and technical details are confirmed.

The Kindred Take

Payday Super might sound like extra admin, but it’s really a cash-flow shift, not a new cost.

Once you adjust your systems and mindset, it’ll become just another part of your payroll routine and your employees will benefit from seeing their super grow sooner.

If you start easing into the new timing now, it will be relatively painless when 1 July 2026 arrives.

Need help getting ready?

We can help:

Review your payroll systems
Model your cash-flow impact
Create a super payment plan that fits your pay cycle

Talk to Kindred to start planning your transition. Not working with us yet? CLICK HERE to get started and make your life a whole lot easier.

FAQ: Payday Super for Employers

Is Payday Super an extra expense?
No. It's the same super, paid sooner. The change is all about timing, not $$$

When does Payday Super start?
From 1 July 2026 (subject to final legislation).

How quickly do I need to pay the super after payday?
It must reach the fund within 7 business days of payday.

What happens if I pay late?
Late or missed payments attract daily interest and penalties. Avoid this with automation and early planning.

How do I get ready without shocking my cash flow?
Start putting aside the super portion each payroll now, even if you still pay quarterly. Build up to paying it regularly before the deadline.

Will the ATO see late payments faster?
Yes. STP reporting will flag late payments almost immediately.

Can Kindred help?
Absolutely. We can help with payroll setup, cash-flow modelling, and compliance planning.

Get in touch.

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Outsourcing your accounting tasks to someone who actually cares about the state of your business is a game-changer.

An expert can transform your approach to finances and empower you to take control of your business’s financial health.

We’re passionate about empowering business owners to make confident & informed money decisions.

Ditch the chaos & start navigating your numbers with us now.

Payday Super Is Coming: What It Means for Your Business (and How to Prepare Now)