Payday Super: running payroll under the new rules

The change was made by the Treasury Laws Amendment (Payday Superannuation) Act 2025 (Act No. 57, 2025, assented to 6 November 2025), which commenced on 1 July 2026 together with the Superannuation Guarantee Charge Amendment Act 2025. Earnings paid up to 30 June 2026 stayed under the quarterly rules, so the last quarterly due date was 28 July 2026.

The contribution is on time only if the fund receives it, with the information it needs to allocate it to the member’s account, within the period (ATO: Payment deadlines). Sending it on day 7 is not enough if your clearing house takes days to process. The ATO’s recommended practice is to pay super on payday. The Payday Super deadline calculator works out the due date.

The deadline applies to everyone entitled to super guarantee, including contractors paid mainly for their labour, and directors.

For most employers the amount does not change. The ATO says the main new inclusion is commissions for work done entirely outside ordinary hours (ATO: Qualifying earnings). Example: an employee is paid $2,500 of ordinary-hours wages on a payday, so the minimum contribution for that payday is $2,500 × 12% = $300. Ordinary time earnings include certain types of paid leave, so leave pay feeds into the same calculation (how leave accrues).

Alternatives include a commercial clearing house, a clearing house built into payroll software, or paying funds directly through SuperStream. Whatever you choose, check how many business days it takes for money to reach the fund and build that into your pay run.

• Shortfall: 12% of qualifying earnings, less on-time contributions and any late contributions made before the assessment.
• Notional earnings: the general interest charge rate applied to the shortfall, compounding daily.
• Administrative uplift: starts at 60% of shortfall plus notional earnings. It falls by 20 percentage points if the ATO has not issued you an ATO-initiated assessment in the previous 2 years, and by up to 40 points for a voluntary disclosure, down to 0% if you disclose within 30 days with a clean history (ATO).
• Choice loading: 25% of the contributions for the payday if choice of fund rules weren’t followed, capped at $1,200 per notice period.
• Penalties: 25% or 50% of unpaid charge, depending on prior penalties.

Example: shortfall plus notional earnings for a payday is $1,000 and you have had no ATO-initiated assessment in 2 years. With no disclosure, the uplift is 40%: $1,000 × 40% = $400, so the charge is $1,400. A voluntary disclosure lodged within 30 days would take the uplift to 0%. Model your exposure with the SGC penalty calculator.

1. Set the payroll system to create a super payment with every pay run, including off-cycle runs.
2. Confirm your payroll software reports qualifying earnings and super liability in STP for each pay event.
3. At onboarding, collect the choice of fund form or request stapled fund details, and use the member verification request so the fund confirms it will accept the contribution.
4. Monitor fund error messages daily. Funds now have 3 business days to allocate or return a contribution, so rejections surface faster.
5. Flag bonuses, back pay and commissions as out-of-cycle so their due date tracks the next regular payday.
6. Plan cash flow: super leaves the account each payday rather than quarterly. The Payday Super cost calculator shows the timing difference.
7. Keep evidence of payment dates and fund receipt with your payroll records.

For 2026–27 the ATO says it will take a supportive approach under PCG 2026/1: it will not review employers who pay super each payday and fix errors quickly, and will focus on employers who are not making the change. If you miss a payment, pay the fund as soon as you notice, before any assessment issues.