Payday super – a good step forward

Superannuation has been around in Australia for many years since I believe the early 1900’s. However, it hasn’t been compulsory for employers to pay super contributions until 1992 when Paul Keating the prime minister introduced SG (Superannuation Guarantee). It is interesting though how guarantee is in the name yet over 30 years on – I still see clients that don’t have this guarantee, and employers have missed or not paid compulsory superannuation payments.

Currently employers can pay superannuation quarterly if they like, which can get confusing. For example, you look at your pay slip that might be fortnightly for example and it shows an amount that your employer has paid in superannuation – however you sort of have to go through your last quarters pays’ – add them up on each pay slip, then check with your super fund to make sure you have been paid the correct amount.

Now, with the new laws, after pay day – employers will have 7 days to pay your SG into super, this way I think it is a good step forward so employees can easily monitor their payments. Also, hopefully it encourages employers to pay super on time and actually pay it as the frequency is higher so employees can more closely monitor it and question discrepancies.

Noting that these payday super reforms aren’t law yet but if passed they are expected to kick off on the 1st of July 2026.