What is Payday Super?
Note: The information contained here is subject to change, as the legislation regarding Payday Super is not yet finalised. The ATO website will contain the most current information regarding Payday Superannuation.
With a likely commencement date of 1 July 2026, Payday Superannuation is an initiative to reduce unpaid super and ensure employees' superannuation accounts receive contributions in a timely fashion. Although the legislation has yet to come before the Australian parliament (as at 11 September 2025) Payday Superannuation will require superannuation to be paid at the same time as regular salary or wages, instead of the current quarterly requirements. Further, super contributions must hit member accounts within 7 calendar days (not business days) of pay date, and super funds have 3 days to match the funds to members where auto matching fails.
Even though the Treasury Laws Amendment Bill 2025: SG reforms to address unpaid super is yet to enter parliament there appears to be no movement on the 1 July 2026 commencement date. Unlike other recent changes, there is likely to be no scope for deferrals; the ATO will most likely work with employers on compliance issues before jumping straight to penalties.
Ordinary Time Earnings
Prior to Version 25.10, Sybiz Visipay had an informal concept of OTE; this has now been formalised as a check box in pay items, as such, it is crucial for Sybiz Visipay users to revisit their pay items and ensure OTE is being applied correctly to the relevant pay items. It is highly likely that reporting of QE will be required under STP2 even if Payday Super's launch is delayed.
Importantly, the definition of OTE and pay items that are treated as OTE has not changed.
Qualifying Earnings
Qualifying Earnings includes all pay items that are currently treated as OTE (with some exclusions), and also includes additional amounts that are not classified as OTE.
Please refer to the ATO resources regarding these terms; the ATO has requested us to link users directly to the information rather than republishing it.
We also invite Sybiz Visipay users to check our our Getting Ready for Payday Super webinar, a recording of which has been made available on our site. But please be aware updated information will be more reliable as it becomes available.
Planning ahead
There are steps Sybiz Visipay users can take now ahead of Payday Super to prepare for its future implementation:
- Sybiz Visipay 25.10 (available now) has added a flag to designate pay items as Ordinary Time Earnings. Familiarise yourself with OTE per the new content available on the ATO website (The ATO has requested we send users there, rather than republish information).
- Review director's fees, and bonus and commission pay items regarding the applicability of super.
- Review your pay frequency as it may make sense to change to a less frequent payroll to reduce the administrative burden.
- Make plans now to move away from the Small Business Superannuation Clearing House, which will cease operation on 1 July 2026.
- Be aware that the Maximum Super Contribution Base is changing from Quarterly to Annually.
Success story
Gearon Civil
Read how Sybiz accounting and payroll helped a growing business save time and improve performance.