New “Payday Super” reform starting 1 July 2026

From 1 July 2026, employers will be required to ensure superannuation contributions are paid to their employees’ super funds within seven business days of payday. Failure to comply may result in penalties under the Superannuation Guarantee Charge (SGC). 

The ATO has announced that the Small Business Superannuation Clearing House (SBSCH) will be closed before payday super begins. The ATO has indicated that a transition period will occur between October 2025 and June 2026, during which: 

• existing SBSCH users will continue to have access, and 
• new employer registrations will no longer be accepted once the transition period begins. 

Final dates will be confirmed by the ATO.  

ATO compliance approach 

The ATO has confirmed it will take a measured approach to compliance during the first 12 months after the change starts. 

It will differentiate between low and high-risk employers. This approach will mean that employers who are making a genuine effort to pay contributions in line with each pay cycle can fall into the low-risk category. 

How to prepare for these changes 

• Check employees’ super fund details are current to avoid rejected payments and processing delays. 
• Start reviewing your payroll and super processes and consider automation where possible. 
• Keep records and proof of payment to demonstrate compliance. 
• Seek professional advice from your accountant or payroll expert on contract, cash-flow and record-keeping implications. 

More information is available at Super for Employers or contact the ATO on 13 10 20.