Payday super: funding the new seven-business-day deadline on every pay run

For years, super worked on a quarterly rhythm. Wages went out every week or fortnight; the super on those wages could wait until the 28th of the month after the quarter. Plenty of businesses — knowingly or not — used that gap as working capital.

Since 1 July 2026, that gap has closed. Super now has its own deadline on every single pay run. This page looks at what that means for cash flow and how to fund pay runs when customer payments don’t line up.

What changed on 1 July 2026?

Under payday super, employers pay superannuation at the same time as wages. The ATO’s rule is that contributions must be received by the employee’s super fund within seven business days after paying the employee.

A few details matter:

• Received, not sent. The money has to reach the fund. Payroll systems and clearing houses take time to process, so build that in.
• New employees — and new super funds — get a longer first window: 20 business days.
• Out-of-cycle payments, such as a bonus paid between pay runs, take the due date of the next regular pay run.
• The general super guarantee rate is 12% of ordinary time earnings.

The Fair Work Ombudsman has also pointed out that late super can breach the Fair Work Act or an award or agreement, on top of the ATO consequences.

Why does this create a deadline problem?

Because the float disappeared. Picture a business with a $40k fortnightly payroll. Under the old rules, roughly three months of super could build up before it was due. Under payday super, the super on each pay run must reach the fund within about a week and a half.

For steady businesses, that’s an accounting change. For businesses whose income is lumpy — construction, seasonal tourism, labour hire, anyone with big customers on long terms — it means each pay run is now a slightly bigger, harder deadline.

What’s realistic if a pay run is short?

When you see the gap	Realistic options	Notes
Weeks ahead	Line of credit sized to one or two pay runs	Draw when needed, repay as receipts land
A week ahead	Unsecured cash-flow loan, typically $5k – $500k	Sized on turnover and bank statements
Days ahead	Smaller unsecured amounts, same-day funding possible	Have bank access ready
Payday itself	Property-secured $20k – $250k possible same day	See need it today

The general principle: fund the whole pay run — wages, PAYG withholding and super — rather than paying wages and hoping to catch up on super later. Under payday super there’s no “later” to catch up in.

When you’re ready, send a 60-second enquiry or call the hotline on 1300 752 188.

What to have ready when you call

• your payroll total per run, split into wages, PAYG withholding and super
• the pay calendar for the next three months
• expected customer receipts and their dates
• business bank statements or online banking access
• ABN or ACN, and how long you’ve been trading
• any property you’d consider as security for a larger or revolving facility

How do you plan pay runs under payday super?

A few habits make the new rule much easier:

1. Treat each pay run as one number. Wages plus withholding plus super. Budget for that total, not just net pay.
2. Know your heavy months. If you pay fortnightly, some months have three pay days. The 2026–27 pay-run guide lists which.
3. Send super on payday. Don’t wait for day six. Processing delays are your risk, not the fund’s.
4. Match facility size to pay-run size. A revolving facility of one or two pay runs is usually enough to absorb timing gaps.
5. Watch new contracts. Taking on staff for a new contract means pay runs start well before the contract pays. See wages for a new contract.

An illustrative pay run

Illustrative example only. A landscaping business with 12 staff pays fortnightly. Each run is about $46k in gross wages, plus 12% super of around $5.5k (assuming all wages are ordinary time earnings). A council job finishes but the council pays on 30-day terms, leaving a three-week gap with two pay runs in it.

Under the old system, the business would have paid wages and let super ride until the quarterly date. Under payday super, it needs both pay runs fully covered. A short-term facility sized to roughly two pay runs — repaid when the council pays — handles it cleanly.

What should you check in your payroll system?

Make sure your payroll software and any clearing house you use are set up for payday super: that contributions are sent on payday, that new employees’ fund details are captured at onboarding, and that you know the processing time between sending and the fund receiving. If you’re not sure, ask your payroll provider or bookkeeper now rather than discovering a delay after the seven business days have passed.

Keep wages and super on time

Pay runs are deadlines you can see coming — which means you can sort the funding before payday, not on it. Asking what’s possible involves no credit check. We don’t spray your details around the market; one team looks at your payroll gap and a real person calls you back.

Please be accurate on the enquiry form — your true pay-run total, pay dates and expected receipts — so we can match you to a facility that fits your payroll cycle. Or ring the Deadline Desk on 1300 752 188.