Payday Super is Coming: What Bricklayer Contractors Need to Know Before 1 July 2026
The Australian superannuation system is undergoing one of the biggest changes in decades. From 1 July 2026, employers must pay superannuation at the same time as employee wages – known as Payday Super.
For businesses in the Brick and Block Laying Industry, understanding these changes early will help avoid penalties, manage cash flow, and stay compliant with Australian Taxation Office (ATO) requirements.
The ATO has released fact sheets, checklists, and videos to help employers prepare for Payday Super at ato.gov.au/PaydayResources. These resources will continue to be updated as more guidance becomes available.
What is Payday Super?
Payday Super changes when and how super guarantee (SG) contributions are paid.
Currently, most employers pay super at least quarterly. From 1 July 2026, super must be paid everypayday, at the same time as wages, and generally received by the employee’s super fund within 7 business days.
The reform aims to:
- Reduce unpaid or late super.
- Improve retirement outcomes for workers.
- Increase transparency for employees and regulators.
Key Changes to Super Guarantee Rules
Super Must Be Paid Each Payday
Employers will need to process super payments whenever wages are paid – weekly, fortnightly, or monthly – instead of quarterly.
New Definition: Qualifying Earnings (QE)
Super will be calculated based on qualifying earnings (QE), which combines ordinary time earnings and other relevant payments into one calculation base.
For many businesses, this may not significantly change the amount of super paid, but payroll systems will need updating.
Updated SuperStream and Payment Standards
Technology and reporting requirements are being upgraded to support faster, near real-time super payments and better error reporting.
This includes:
-
- Faster payment processing through modern payment systems.
- Improved data validation and error messaging.
- New reporting codes for qualifying earnings.
Reporting Changes via Single Touch Payroll (STP)
Employers will report qualifying earnings and total super liability through STP reporting systems.
Old vs New Super System – Quick Comparison
Current System
- Super paid at least quarterly.
- Based mainly on Ordinary Time Earnings.
- Longer processing timelines.
- Less real-time visibility.
Payday Super System (from 1 July 2026)
- Super paid every payday.
- Based on Qualifying Earnings.
- Contributions usually reach funds within 7 business days.
- Near real-time reporting and matching.
Why This Matters for Bricklayer Contractors
For Bricklayer Contractors Australia and the wider building and construction sector, these changes may impact:
Cash Flow Planning
Super will leave your business account more frequently, which means forward planning is essential.
Payroll System Updates
You may need to upgrade or update payroll software to handle more frequent super payments and reporting.
Compliance Risk
Late or incorrect super payments can trigger the Super Guarantee Charge and additional penalties.
How to Get Ready for Payday Super
The ATO recommends employers start preparing now by:
- Reviewing payroll and accounting systems.
- Speaking with payroll providers or accountants.
- Reviewing employment and pay cycle processes.
- Monitoring ATO resource updates and guidance.
ATO Compliance Approach in the First Year
The ATO has indicated it understands this is a major transition. Employers making genuine efforts to comply in the first year are not expected to be the primary focus of compliance action.
However, businesses should still take active steps to prepare and demonstrate they are working toward compliance. You can read more about the ATO’s compliance approach at ato.gov.au/PDScompliance.
Where to Find ATO Resources
The ATO has released resources including:
- Fact sheets
- Checklists
- Videos
- Compliance guidance
Employers should check these regularly as more resources are released leading up to 1 July 2026.
Final Thoughts for the Brick and Block Laying Industry
The introduction of Payday Super is designed to strengthen Australia’s retirement system, but it will require preparation and system updates for employers.
For Bricklayer Contractors, acting early will help:
- Avoid penalties and interest.
- Reduce compliance risk.
- Maintain smooth payroll operations.
- Support employees’ long-term financial wellbeing.
