Business loan for payroll: covering wages when pay day comes before the cash

There’s no deadline that weighs on a business owner quite like payroll. A supplier can be asked to wait. A landlord might give you a week. But staff have rent, mortgages and groceries of their own, and they’re counting on pay day being pay day.

This page is about meeting that deadline when the cash isn’t there yet — usually because the business is owed money that simply hasn’t arrived.

What exactly needs funding on pay day?

It’s tempting to think of payroll as the total of what lands in staff bank accounts. It’s more than that:

• Net wages paid to employees
• PAYG withholding — the tax you’ve held back, which is reported and paid to the ATO
• Super — and since 1 July 2026, the super for each pay run must be received by the fund within seven business days of payday

A business that funds net wages but not the rest has only moved the deadline a few days down the road. When you work out how much you need, total all three.

What are the rules about when staff must be paid?

The Fair Work Ombudsman says employees must be paid at least monthly, and most awards, enterprise agreements or registered agreements set out whether pay is weekly, fortnightly or monthly. Whatever your arrangement says is the deadline. Pay slips must be given within one working day of paying.

In other words, “I’ll pay on Monday instead of Thursday” isn’t a decision you can make on your own. That’s why most owners facing a payroll gap fund it rather than delay it.

What’s realistic, by timeline?

When the pay run is	Realistic options	Notes
Today or tomorrow	Smaller unsecured amounts, same day possible; $20k – $250k possible same day with property	Ring before mid-morning
This week	Unsecured cash-flow loan, typically $5k – $500k; secured options up to $5m possible within 24–48 hours	Have bank statements ready
Next fortnight	Line of credit or short-term loan sized to one or two pay runs	Time to choose the structure
Recurring	Revolving facility matched to your payroll cycle	Fixes the pattern, not just this run

Whatever the timing, a 60-second enquiry gets the conversation started — or ring the hotline on 1300 752 188.

What to have ready when you call

1. The pay-run total, split into net wages, PAYG withholding and super.
2. The pay date and your payroll cut-off — many systems need funds a day before staff are paid.
3. The receipts you’re waiting on — who owes you, how much, and when they’re expected.
4. Business bank statements, or online banking access for a secure statement link. See bank statements for a fast loan.
5. ABN or ACN and how long you’ve been trading.
6. Property details, if you’re open to security for a larger or faster amount.

Why does payroll keep coming up short?

A payroll gap is rarely about the payroll. Usually it’s one of these:

• Customer terms are longer than your pay cycle. You pay staff fortnightly; your customers pay in 30 or 45 days. Growth makes this worse, not better.
• A big customer paid late. One slow payment can push a whole pay run over the edge — see the payment times guide.
• A three-pay-day month. If you pay fortnightly, two months a year contain a third pay run. The 2026–27 pay-run guide lists them.
• New staff for a new contract. Wages start weeks before the contract pays. See wages for a new contract.
• Super moved to payday. The old quarterly float disappeared on 1 July 2026.

Understanding which one applies helps decide the right fix. A single late customer suits a short loan. A structural gap suits a revolving facility.

An illustrative payroll gap

Illustrative example only — no real business. A labour-hire business pays 30 workers weekly, about $52k a week including withholding and super. Its main client pays on 30-day terms. When the client’s accounts team changes systems, two invoices worth $140k are paid three weeks late. The owner can cover one week from reserves but not three.

With bank statements showing years of steady trading, an unsecured facility sized to two pay runs bridges the gap and is repaid when the client catches up. The owner then sets up a revolving facility so the next systems change doesn’t threaten pay day.

How do you talk to staff if pay might be late?

If there’s any chance pay will be late, tell staff early and honestly, and tell them when they will be paid. But the better outcome is not needing that conversation. Most pay-run gaps that are raised two or three days ahead can be funded in time.

Should you tell your accountant?

Yes. A payroll gap is a useful early signal. Your accountant can help confirm the real cause, check that withholding and super are being handled correctly, and spot whether the business needs a more permanent fix than a single loan.

Keep pay day as pay day

Your staff are counting on you, and you can count on a straight answer from us. Ringing the Deadline Desk or enquiring online doesn’t involve a credit check. Your details aren’t scattered across a list of lenders — one team looks at your pay run and a real person calls you back.

Please fill in the enquiry form accurately: the true pay-run total, the payroll cut-off and the receipts you’re waiting on. That’s what lets us match you with funding that lands before your staff are paid. Or ring 1300 752 188 now.