Compliance
Compliance Checklist: Are You Prepared for Payday Super from 1 July 2026?
Australia’s Payday Super reforms change how and when employers pay super — late payments won’t just hurt workers, they’ll trigger new charges. Here’s how to stay compliant.
By NomadicTax Research Team • 5-8 min read • August 12, 2026
## What is Payday Super?
Starting 1 July 2026, the way superannuation is paid changes significantly. Under **Payday Super**, employers must pay super guarantee contributions **each payday**, instead of quarterly. Contributions must **reach the super fund** within **7 business days** after the payday, unless there’s an allowable exception (e.g. new employees). ([softwaredevelopers.ato.gov.au](https://softwaredevelopers.ato.gov.au/PaydaySuper?utm_source=openai))
Additional elements include:
- Use of “**qualifying earnings**” (QE): ordinary time earnings plus other payments and remuneration categories. ([ato.gov.au](https://www.ato.gov.au/law/view/document?LocID=%22COD%2FLCR2026D3%2FNAT%2FATO%2Fft7%22&PiT=99991231235958&utm_source=openai))
- The Super Guarantee Charge (SGC) risk if employers fail to meet these requirements on time. ([softwaredevelopers.ato.gov.au](https://softwaredevelopers.ato.gov.au/PaydaySuper?utm_source=openai))
## Key deadlines & transitions
| Action | Deadline |
|---|---|
| **SBSCH closure** (Small Business Superannuation Clearing House) | Close permanently from 1 July 2026. Existing users must choose an alternative and download records before that date. ([ato.gov.au](https://www.ato.gov.au/businesses-and-organisations/super-for-employers/paying-super-contributions/how-to-pay-super/small-business-superannuation-clearing-house?=redirected_sbsch&utm_source=openai)) |
| **Final quarterly payment under old regime** | Due 28 July 2026 for the June quarter. If missed, submit Super Guarantee Charge statement by 28 August 2026. ([community.ato.gov.au](https://community.ato.gov.au/s/article/a07Mo00001qD2iH/payday-super-starts-1-july-heres-what-employers-need-to-know?utm_source=openai)) |
| **Start Payday Super regime** | From 1 July 2026 for any qualifying earnings paid after that date. ([ato.gov.au](https://www.ato.gov.au/law/view/document?LocID=%22COD%2FLCR2026D3%2FNAT%2FATO%2Fft7%22&PiT=99991231235958&utm_source=openai)) |
| **Reporting changes in Single Touch Payroll (STP)** | From 1 July 2026, employers will start reporting QE under a new code, and include super liability each payday. ([softwaredevelopers.ato.gov.au](https://softwaredevelopers.ato.gov.au/PaydaySuper?utm_source=openai)) |
## Your compliance checklist ✔
- **Upgrade payroll & accounting software** to support: calculating QE, mapping STP new codes, processing super contributions quickly.
- **Develop process for payment timing**: contributions must arrive at super funds within 7 business days post payoff. Allow sufficient time for system, fund, and banking delays.
- **Notify and coordinate with your super funds**: Ensure they’re compliant with receiving contributions under the new SuperStream / NPP standards (if using NPP). Funds must accept and allocate contributions promptly. ([softwaredevelopers.ato.gov.au](https://softwaredevelopers.ato.gov.au/sites/default/files/2025-08/G051_-_SuperStream_payments_using_NPP.pdf?utm_source=openai))
- **Review contracts and labour arrangements**: Some contractors “engaged primarily for their labour” might attract SG under qualifying earnings. Check classifications.
- **Record-keeping**: Maintain documentation of paydays, qualifying earnings, when payments were made and when they reached the fund; this evidence is key if the ATO checks shortfalls.
- **Communication with employees and stakeholders**: Inform them about changes if their earnings, pay frequency or contractor status affect their contributions.
## Risks of non-compliance & practical examples
- If you miss deadline, your organisation may be liable to **Super Guarantee Charge** with interest and penalties. SGC is not deductible.
**Example**: If you have weekly payroll but super contributions are paid based on quarterly schedule — once Payday Super starts, that will lead to misalignment and potential shortfall/SGC.
**Example**: An employer lists incorrect earnings (e.g. doesn’t include travel allowances, overtime in qualifying earnings) — may underpay SG and be liable for retrospective adjustments plus interest.
## What small businesses should focus on
Small businesses that relied on SBSCH need alternatives. Options include payroll software, commercial clearing houses, or using Direct payment tools compliant with SuperStream and NPP. Ensure ease of use and low cost to manage cashflow.
Start transition early so July payrolls are ready.
## Final thoughts
Payday Super is a major shift in employer obligations. Being proactive now—testing systems, understanding definitions, reviewing processes—will help avoid penalties. Employers should consult with their accounting or payroll service providers well before implementation date.