On 9 October, the government introduced Payday Super legislation into parliament. It's intended the legislation will take effect from 1 July 2026. This measure is not yet law.
Key changes for you as an employer include:
- You must pay superannuation guarantee (SG) at the same time as salary and wages.
- SG contributions will generally need to arrive in employees’ super funds within 7 business days of payday. If the amount isn't received by the super fund within the required timeframe, you'll be liable for the superannuation guarantee charge (SGC).
- Error messaging from super funds will be improved to ensure you can better understand why a super contribution was rejected and what you need to do to fix it. Changes will also provide faster payments and new services, like the Member Verification Request, that'll help reduce rejected contributions.
Starting early
You don't have to wait until 1 July 2026 to start paying your employees' super more frequently. Speak with your registered tax practitioner for more information. You can also talk to your payroll provider, clearing house or super fund for more information on the improvements they're making to support more frequent payments.
Our compliance approach
We’ve published draft guidance on our compliance approach for employers for the first year of Payday Super. PCG 2025/D5 sets out the factors we'll consider when deciding how to apply our compliance resources to investigate employers in relation to the first year of Payday Super.
Our proposed approach recognises that employers who try to do the right thing between 1 July 2026 and 30 June 2027 and that resolve any issues quickly should not be the focus of our compliance action.
The draft is open for public comment until 7 November 2025. If you'd like to submit comments, refer to the instructions within PCG 2025/D5.
For more information, visit ato.gov.au/paydaysuper.
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