What you need to know about Payday Super

The Federal Government has announced changes to superannuation guarantee payments which may impact small business owners in Western Australia.

Payday Super will change both the timing of super payments and the way super is calculated and reported through payroll systems.

From 1 July 2026, superannuation guarantee payments must be paid to employees at the same time as their salary and wages.

These changes are being introduced as part of the Treasury Laws Amendment (Payday Superannuation) Bill 2025 and the Superannuation Guarantee Charge Amendment Bill 2025.

Steps to prepare for Payday Super

The Australian Taxation Office (ATO) is encouraging employers to start preparing now so you’re ready to pay super contributions on payday from 1 July 2026. This includes:

• Review your payroll and super payment cycles so you can align your super guarantee payments to your business’s pay cycle.
• Ensure your payroll software can record the Ordinary Time Earnings (OTE) and total super liability for each of your employees in your Single Touch Payroll (STP) feed.
• Check that your payroll or super payment solution is compatible with upcoming SuperStream upgrades, which will support more frequent (payday) super payments.
• If you use the ATO’s Small Business Super Clearing House, you will need to transition to an alternative payroll provider as the service is being retired from 1 July 2026.
• Review your cash flow forecast to ensure you have sufficient funds to cover both OTE and super payments at each payroll period.

For more information on the proposed changes, visit ato.gov.au/paydaysuper.