By Richard Thompson, Archer Thompson Lawyers
From 1 July 2026, employers will be required to pay Superannuation Guarantee (SG) contributions in close connection with each pay event under reforms commonly described as Payday Super. This is a material shift away from the current quarterly SG remittance model and will require employers – particularly in manufacturing, to review payroll processes, clearing house arrangements, and the treatment of earnings for SG purposes.
For many Australian Furniture Association members, the risk profile is higher due to shiftwork, overtime, allowances and enterprise agreement overlays. The practical objective between now and commencement is to ensure that SG calculations and remittances are performed accurately and on time for every pay run, supported by appropriate governance and reconciliation.
What is Payday Super?
Under the existing framework, SG is generally payable quarterly, with contributions due 28 days after the end of each quarter. Under Payday Super, contributions must be received by the employee’s nominated fund within 7 business days of payday, allowing a reasonable period for clearing house processing.
Clearing house and systems: SBSCH ending and SuperStream changes
Employers should plan for the following changes:
a. The Small Business Superannuation Clearing House (SBSCH) will no longer be available from 1 July 2026, requiring affected employers to adopt payroll-integrated solutions or alternative clearing houses.
b. SuperStream upgrades will commence from 1 July 2026. Employers should ensure payroll software and superannuation payment processes can meet the new timing and reporting requirements under Payday Super.
Further information is available from the ATO:
SuperStream changes | Australian Taxation Office
What AFA members should do now
To prepare for implementation on 1 July 2026, AFA members should consider:
Clearing house and payment processing test
Confirm that the chosen clearing house or payment process can receive funds within the required timeframe for each pay run.
Governance and reconciliation
Implement tighter internal controls, pay-cycle reconciliations, and exception reporting to identify and rectify issues quickly.
Technology readiness (SuperStream upgrades)
Engage payroll software providers early to confirm readiness for SuperStream upgrades and any required changes to enable Payday Super compliance.
Summary
Payday Super represents a structural change to SG compliance. It shifts SG from a quarterly administrative task to a per-pay-cycle obligation with materially reduced tolerance for delay. Early preparation is the most effective risk control. A focused review of processing capability will place AFA members in the strongest position ahead of 1 July 2026.
The Australian Taxation Office has a dedicated Payday Super guidance hub:
Payday Super | Australian Taxation Office
This article is general information for AFA members and is not intended to address the specific circumstances of any particular business. Contact Archer Thompson HERE