Payday Super: what are the changes and how can businesses prepare

Last modified: 9 April 2026

From 1 July 2026, Australia’s superannuation system is changing.

Employers must pay their employees’ super on payday, at the same time as their salary and wages. Visit the ATO website for the latest information about the change.

What’s expected to change from 1st July 2026

Australian businesses are expected to change the way they process superannuation payments. Summary of the changes as of 1 July 2026: 

• Businesses will need to submit employees’ superannuation payments at the same time as their salary or wages instead of quarterly. 

• Superannuation contribution payments must be successfully received by the employees’ super fund within 7 business days of payday (Qualifying Earnings (QE) Day). 

• Introduction of new definitions such as Qualifying Earnings (QE) and QE Days which will impact STP reporting. 

• The Super Guarantee (SG) charge will change, with tougher penalties if businesses don’t pay super in full and within the specified timeframes 

• If a new employee is hired, organisations are provided with 20 business days (starting from the day after salary or wages are paid) for the chosen super fund to successfully receive the first super contribution payment. 

How can businesses prepare for the change?

1. Upgrade payroll systems 

Businesses should take the steps to ensure their payroll system can process super contributions per pay cycle. Aurion already supports Payday Super compliance by allowing super uploads to be included at the same time as salary payments.

2. Streamline onboarding and super fund selection

Evaluate your employee onboarding process, in particular collecting super fund details and super fund selection. Employers must collect super fund details from new hires promptly. 

3. Review cash flow strategies 

Frequent super payments rather than quarterly may strain cash flows for businesses. Businesses should consider reviewing their cash flow strategies ahead of the change. 

4. Train payroll teams 

Consider upskilling payroll staff to handle increased admin and compliance requirements. This includes understanding new STP reporting definitions like Qualifying Earnings (QE). 

5. Integrate technology

Especially if your organisation has a large and complex workforce, adopting payroll technology or payroll services backed by technology that can handle this change in superannuation payments is essential. Connecting payroll and super systems as well as automating onboarding, STP reporting, and super payments can help businesses achieve payroll compliance when Payday Super takes effect. Using platforms like Aurion also takes the pressure off payroll and HR teams as it reduces manual processes involved with processing super every pay and capturing super details from new starters in a timely fashion. 

6. Communicate the change to employees 

Last but definitely not least, businesses have the obligation to communicate the Payday super change to their employees. Ensure communication is provided ahead of the change, information is sent via appropriate internal communication channels and that the messaging is clear and concise. 

Do businesses need to wait until July 2026? 

Payday Super is not yet law, however some organisations that have undertaken the above steps to prepare for the changes and have a Payday Super compliant payroll system may choose to adopt the change before 1 July 2026. Aurion is officially Payday Super ready including the functionality to support submitting employee superannuation payments in the same transaction as wages or salary. All the required Payday Super changes are available in our Version 11.98.1C software release (client log in required). 

Rather than waiting until the effective legislation date of 1 July 2026, making the change to adopt Payday Super changes earlier prepares your team for the new legislation.

What we are doing at Aurion

Aurion meets the ATO’s compliance requirements for the upcoming Payday Super changes. We’ve been keeping our customer community updated as legislation continues to progress and supporting customers who wish to adopt the change early. Aurion have also partnered with Beam to put together some initial information regarding Payday Super in this recent blog. 

Let’s chat!

If you are looking for a people and payroll provider that continuously optimises your solutions and software, speak with our expert team. Our Aurion payroll specialists are available to discuss how we can tailor your solution to let your workforce thrive! You can reach our experienced team by:

• calling 1300 287 466
• sending an email to [email protected]
• filling out this contact form and we’ll reach out to you

We’re excited to partner with you to make life work better!