Final Reminder: Payday Super Starts 1 July 2026

Written by Shara Cox

With just days remaining until the introduction of Payday Super, employers who are still relying on the ATO's Small Business Superannuation Clearing House (SBSCH) should ensure they have made alternative arrangements.

The SBSCH closes permanently on 30 June 2026, and from 1 July 2026, employers will be required to pay superannuation much more frequently under the new Payday Super regime.

Many employers have already transitioned to payroll-integrated solutions such as Xero, MYOB and QuickBooks, making the change largely seamless. However, businesses that have not yet prepared may find themselves facing compliance risks and administrative challenges.

What is changing?

Under the current system, employers generally pay superannuation quarterly. From 1 July 2026, super contributions must be received by employees' super funds within 7 business days of payday, significantly reducing the delay between employees earning super and receiving it in their retirement savings accounts.

The Government's objective is to reduce unpaid super, improve transparency, strengthen employee entitlements, and simplify compliance through greater integration between payroll and superannuation systems.

The SBSCH Is Closing

The ATO's free Small Business Superannuation Clearing House has been a popular option for many small businesses, but it will no longer be available after 30 June 2026. The service has already closed to new registrations and existing users will lose access entirely from 1 July 2026.

If you are currently using the SBSCH, you should already have transitioned to an alternative provider or payroll solution.

What Happens If You're Not Ready?

Leaving preparations until the last minute could result in:

  • Late super payments, potentially leading to Superannuation Guarantee Charge (SGC) liabilities, interest and administrative penalties.

  • Loss of tax deductibility on compulsory super contributions that are paid late.

  • Payroll disruptions if your business does not have a compliant payment method in place after the SBSCH closes.

  • Cash flow pressures if you have not adjusted from quarterly payments to more frequent contributions.

The good news is that many businesses find the move to smaller, regular super payments actually improves budgeting and cash flow management once the transition period has passed.

Your Options

Most modern payroll platforms already provide integrated superannuation functionality, including:

  • Xero

  • MYOB

  • QuickBooks

These systems can automate super calculations and payments as part of the pay run process, helping reduce administration and compliance risks.

Businesses may also consider:

  • Commercial clearing house providers

  • Clearing house services offered by some super funds

  • Other SuperStream-compliant payroll solutions

Our Advice

At this point, the focus should no longer be on planning for Payday Super, it should be on ensuring your systems are ready.

If you currently use the SBSCH and have not yet finalised an alternative arrangement, we recommend taking immediate action. Employers should review their payroll processes, confirm their chosen software can support Payday Super requirements, and ensure employee super fund details are up to date.

While the changes represent a significant shift for some businesses, they also provide an opportunity to modernise payroll processes, improve compliance and reduce the risk of missed super payments.

If you need assistance transitioning from the SBSCH or preparing for Payday Super, please contact our team. We're here to help make the change as simple and stress-free as possible.

Jenni Anderson