Payday Super – growing super sooner

From 1 July, new legislation requires superannuation to be paid alongside every paycheck.

Right now, employers are only legally required to pay super quarterly. That means your retirement savings can sit in limbo for months while your wages are paid weekly or fortnightly. Payday Super flips that, because employers will need to pay super at the same time as wages.

This is a simple shift with a big impact. According to the ATO, Payday Super is designed to reduce unpaid and underpaid super, improve transparency, and help workers grow their retirement savings faster.

While super isn’t being paid into super funds, it loses time in the market. That means less compound growth, and less financial security later.

So having super paid more frequently means super hits accounts sooner, so it has more time to grow, making a meaningful difference over time.

This a shoutout to all our members who run your own business (hello, legends!).

This is an important change to stay on top of if you’re responsible for paying super. There’s now less wiggle room for missed payments, and they’re less likely to go unnoticed. The ATO is setting itself up to detect errors faster and strengthen employers’ accountability.

If you’re currently batching super payments quarterly, you’ll now need to:

• Pay super at the same time as wages

• Ensure payroll systems are set up to process more frequent contributions

• Keep records tight and accurate

The upside? Less end-of-quarter admin panic, and a smoother, more consistent process over time.

Moving from quarterly to payday payments will impact cash flow, especially for small businesses used to holding onto that money longer.

But here’s the reframing: super isn’t business cash. It’s employees’ money. Delaying it comes at their expense.

So this is your friendly reminder to review your payroll software or talk to your payroll provider, have a chat with your accountant and review your cash flow forecasts as needed.

The ATO’s Payday Super portal has heaps of info to help.

Payday Super is about fairness and closing gaps.

For employees, it means greater confidence that their super is being paid correctly and on time.

For women, it’s one step toward a system that doesn’t quietly chip away at their financial future.

For employers, it’s a chance to build better, more transparent practices and be part of raising the standard across the industry.

If you’re an employer and unsure where to start, or a member wondering what this means for you – we’re here to help. Grab a session with our coaches for tailored advice to help you make the most of your super.