Payday super becomes law

This outcome is consistent with the original design of the legislation. While some challenges raised during consultation – such as tight processing timeframes, system readiness, and cash flow impacts – remain, employers now have certainty on the framework and the key obligations that will apply.  

What this means for employers 

The introduction of qualifying earnings, updated Single Touch Payroll (STP) and SuperStream reporting, new shortfall rules, and the annual maximum contributions base will require employers to make material changes to payroll operations. With no further legislative adjustments, employers now have certainty on the framework and should move into implementation mode. 

Key actions include: 

• Reviewing payroll configurations 
• Assessing system and vendor readiness  
• Testing end-to-end processing times  
• Reviewing remuneration structures, and 
• Conducting sample recalculations and assurance checks. 

To adhere to these changes, we can assist with validating payroll configurations, reviewing pay codes, undertaking sample SG recalculations, and assessing end-to-end payroll processes to help identify risks and prepare for the transition to payday super. For more information in the context of your business, please reach out. 

Payday Super Bill and ATO draft PCG released – What employers need to know

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