The Government has announced that, from 1 July 2026, employers will be required to pay their employees’ superannuation at the same time as their salary and wages.
This “payday super” reform is expected to benefit the retirement incomes of millions of Australians, make employers’ payroll management smoother (with fewer liabilities building up on their books), and make it easier for employees to keep track of their payments (and harder for them to be exploited by disreputable employers).
“While most employers do the right thing, the ATO estimates $3.4 billion worth of super went unpaid in 2019–20.
“To further strengthen the system, the ATO will receive additional resourcing to help it detect unpaid super payments earlier and the Government will set enhanced targets for the ATO for the recovery of payments.”
This will require employers to be right on top of their cash flow management in order to meet this commitment on the same day that they pay their employees!
Ref: Treasurer’s media release, 2 May 2023
If you want to get started on systemising how to manage your cash flow better, contact our Team on 55612643 so that you will be ready and easily able to manage this new transition to paying your superannuation charge contribution.
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