A note on finalisation
Both the ATO and Treasury are still working through several key matters relating to Payday Super. Like all payroll software providers, Affinity is currently limited in the detail it can provide about specific product updates until final guidance is confirmed. This article reflects our current understanding and will be updated as legislation is finalised.
The problem payroll teams are facing
Super Guarantee compliance has always sat at the end of the process – something reconciled after the fact, often manually, and frequently under pressure.
The ATO has recognised this creates risk. When Super is reported quarterly and paid with a lag, shortfalls and errors can go undetected for months. Employees miss out. Employers face penalties. Payroll teams carry the burden of fixing problems that could have been caught earlier.
Payday Super is the Government's response. It fundamentally changes the timing and transparency of Super reporting – and that means payroll teams need to understand what's shifting before 1 July 2026 arrives.
What is Payday Super?
Payday Super is a legislative reform that requires employers to pay employees' Super Guarantee contributions closer to the time wages are paid – rather than quarterly.
To support this, the ATO is requiring employers to report additional superannuation information through Single Touch Payroll at each pay event. The ATO will use this data to compare payroll records with contributions received by super funds and identify any shortfalls or delays in near real time.
What does Payday Super change about Super reporting?
Super reporting is moving from a periodic reconciliation task to a pay-run-level obligation. Under the new rules, every pay event triggers a Super reporting requirement – not just end-of-quarter reconciliation. Read our full Payday Super overview.
What's changing in STP reporting from July 2026
From 1 July 2026, employers will need to include two additional data points in every STP submission:
- Ordinary Time Earnings (OTE) for each employee at each pay event
- Super Guarantee (SG) accrued for each employee at each pay event
This gives the ATO the information it needs to monitor whether Super contributions are being paid on time and in full.
For most Affinity customers, these changes will be handled automatically by the system. STP submissions will include the required OTE and SG fields without changes to your payroll processing workflow.
What Affinity is building to support compliance
Affinity is implementing a series of updates across three areas to ensure customers are ready for 1 July 2026.
Superannuation validation before payroll runs
Before a pay run is processed, Affinity will check for issues that could lead to rejected Super submissions or compliance risk. The system will flag:
- Invalid or missing super fund identifiers
- Incomplete employee superannuation information
- Incorrect or inconsistent scheme configuration
- Errors in imported or integrated data
If issues are found, you'll be notified before payroll runs – not after – giving your team time to correct the information without disrupting the pay cycle.
Improved employee Super onboarding
When a new employee is onboarded, getting their Super details right from the start matters more under Payday Super rules. Affinity is improving how super information is collected and validated at onboarding, including:
Stapled fund retrieval
Under ATO rules, employers can retrieve a new employee's existing super fund – their "stapled fund" – from the ATO. Affinity will support this by allowing the stapled fund to be retrieved and presented during onboarding, reducing the risk of duplicate accounts and ensuring the correct fund is used from day one. Employees retain the right to choose a different fund if they wish.
Super fund validation
Fund details entered through payroll administration screens, employee onboarding forms, or integrated onboarding platforms will be validated to ensure they are correct and complete before they are recorded.
Enhanced Super processing and reconciliation
Affinity is also evaluating enhancements to how Super payments are processed and reconciled, including potential integration with clearing house providers to support fund validation, payment processing, and improved management of payment exceptions. Further detail will be provided as these enhancements are finalised.
Is your payroll platform ready?
Affinity's automated superannuation engine is designed to handle Payday Super requirements seamlessly. We generate the files you need as part of the standard pay run process.
Explore Affinity core payrollWhat payroll teams need to do right now
At this stage, no immediate configuration changes are required.
As the July 2026 implementation date approaches, Affinity will provide customers with detailed guidance on any required configuration updates, release notes for new features, and instructions for any onboarding or process changes.
The goal is to ensure you remain compliant while making Super management simpler and more reliable – with as little disruption to your existing workflows as possible.
Frequently asked questions
What is Payday Super?
Payday Super is an ATO initiative requiring employers to pay Super Guarantee contributions closer to each pay event, rather than quarterly. From 1 July 2026, employers will also need to report Ordinary Time Earnings and Super Guarantee accruals through STP at every pay run.
When do Payday Super changes take effect?
The changes take effect from 1 July 2026.
What is Ordinary Time Earnings and why does it matter for STP?
Ordinary Time Earnings (OTE) is the base on which Super Guarantee contributions are calculated. Under Payday Super, OTE must be reported through STP at each pay event so the ATO can monitor whether Super obligations are being met.
Will Affinity customers need to change how they process payroll?
For most customers, the STP changes will be handled automatically by the system. Affinity will provide specific guidance on any configuration changes required ahead of July 2026.
What is a stapled super fund?
A stapled super fund is an existing super account linked to an employee that follows them between jobs. Under ATO rules, employers must check whether a new employee has a stapled fund before opening a new account. Affinity will support this lookup during the onboarding process.
What happens if Super details are incorrect at the time of a pay run?
Under Payday Super rules, errors in Super reporting are visible to the ATO more quickly than before. Affinity's pre-payroll validation checks are designed to catch issues before the pay run is processed, reducing the risk of rejected submissions or compliance exposures.
Does Payday Super apply to all employers in Australia?
Yes. Payday Super applies to all Australian employers who are currently required to pay Super Guarantee contributions. The changes take effect for payments made on or after 1 July 2026.
What should employers do to prepare for Payday Super now?
At this stage, no immediate action is required. Affinity will provide detailed guidance on configuration changes and new features ahead of July 2026. The most important step is ensuring employee Super details – fund identifiers, membership numbers, and scheme configurations – are accurate in your system before the transition.