Under the new Payday Super legislation, announced by the Australian Government and overseen by the ATO, superannuation must be paid at the same time as wages. This shift impacts every employer, not just in timing, but in how payroll, reporting, and cash flow are managed.
Although not yet law, the reforms have a clear objective: to improve retirement outcomes and address the billions in unpaid super reported each year. But the road to implementation won’t be simple.
Five core changes that will reshape Payroll operations
The shift to Payday Super isn’t just about timing — it changes how payroll systems must function day to day. Employers can no longer rely on quarterly processes or batch updates. These are the five biggest operational changes:
- Super must be paid on payday
No more end-of-quarter catchups — superannuation must be remitted at the same time as wages
If funds are not received in an employee’s superannuation account within 7 days, the employer will be liable to pay the SG charge, even ahead of the ATO issuing an assessment. An employer in this situation should make contributions to their employee’s superannuation fund as soon as possible to minimise their liability and penalties. - Real-time reporting becomes essential
STP2 reports need to reflect super contributions per pay event. Any delays or mismatches will be flagged faster. - Payment validations must tighten
Weekly or fortnightly cycles leave no room for late corrections. You’ll need instant feedback loops to catch errors. - Funding pressure increases
With shorter windows between pay events and super deadlines, treasury models and approvals must be leaner. - Integration with super clearing becomes critical
You’ll need to automate through compliant platforms (such as WRKR) to avoid manual uploads and delays.
How will Payday Super changes affect employers?
For employers used to quarterly super contributions, the shift to more frequent payments introduces significant pressure on systems, cash flow, and team capacity.
Industries with high turnover, variable rosters, or weekly pay cycles, like retail, hospitality, and healthcare, will be hit hardest. These organisations must now manage super contributions in sync with every pay run, leaving less room for error or delay.
The challenge isn’t just frequency, it’s responsiveness. Payroll systems must now validate and process contributions in near real-time. Legacy platforms or semi-manual workflows simply won’t keep up. Processing super manually every week or fortnight increases admin workload, error risk, and compliance exposure.
For many, this reform is a trigger, not just to comply, but to modernise. Whether you’re already using SAP Payroll or considering a move, now is the time to reconfigure, automate, and future-proof your payroll operations.
Payday Super isn’t just a compliance deadline, it’s a wake-up call for organisations to modernise how they manage payroll. With increased scrutiny and tighter payment cycles, businesses can no longer afford to rely on outdated systems or manual workarounds. Now is the time to invest in payroll solutions that not only meet today’s legal requirements but also scale for the future. Future-proof payroll isn’t a nice to have anymore, it’s essential for protecting your workforce, your brand, and your bottom line.
– Mike Ellis, EVP Zalaris and ANZ Payroll Expert
Technical impact for SAP Payroll teams
To meet the new compliance model, updates will be needed across:
- SAP Payroll configuration (pay date logic, super calculation timing)
- STP2 reporting cadence and accuracy
- Payroll Control Center (PCC) rule adjustments
- Funding models and approval workflows
- Payroll calendar frequency and exception handling
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Comprehensive Payroll Management That Goes Beyond Payday Super
Zalaris doesn’t just help you comply with Payday Super; we help you build a better payroll operation. Our end-to-end SAP SuccessFactors Payroll management solution supports every stage of the payroll lifecycle, from system configuration and STP2 reporting to real-time super payments and funding alignment.
This integrated approach helps you:
- Reconfigure SAP Payroll for new compliance standards
- Implement SAP SuccessFactors with a future-proof foundation
- Migrate from outdated legacy platforms without disruption
Through our partnership with Wrkr, a specialist in superannuation automation and STP compliance, we bring payroll operations into real-time. Combined with Zalaris’ deep SAP expertise, this enables full visibility, accurate contributions, and seamless payment execution, all in one compliant workflow.
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About Zalaris
Zalaris is a leading global provider of SAP HCM-focused HR and payroll services, with 25+ years of experience supporting organisations with standard, complex, and multi-country payroll needs. In Australia, we focus on helping mid-market businesses modernise their HR and payroll operations through expert advisory, implementation, managed services, and ongoing support.
With operations in 100+ countries and flexible smart-shoring options, we deliver high-quality payroll consulting services focused on compliance, cost-effectiveness, and risk mitigation.
Our PeopleHub solution is an SAP Qualified Partner-Packaged Solution for ANZ, offering rapid, cost-effective deployment of SAP SuccessFactors and Cloud Payroll. It provides access to leading technology and pre-configured best practice processes, designed to ensure local compliance while supporting global scalability. PeopleHub helps organisations streamline operations, manage costs, and reduce risk, while future-proofing their HR and payroll capabilities.
Recognised with the SAP ANZ Partner Excellence Award 2025 for People Development, our Australian consulting team brings deep SAP SuccessFactors and payroll expertise to every engagement.
Simplify work life. Achieve more. For more information about us, go to zalaris.com.