More Regular Super Contributions: An Opportunity to Strengthen Your Financial Plan
From 1 July 2026, employers will be required to pay superannuation at the same time as salary and wages, rather than quarterly. While Payday Super is primarily aimed at improving compliance, it also gives employees earlier access to their super contributions and greater visibility of what’s being paid on their behalf.
For employees, this shift is expected to bring a number of benefits. More frequent contributions mean reduced risk of delayed or unpaid super, and earlier visibility of payments in your super fund account via myGov or your fund’s app. Over time, it may also improve long-term super balances, as contributions are invested sooner and have more time to compound.
With super being received each pay cycle, it’s a good opportunity to take a more active role in managing your superannuation. Checking your super account regularly can help you confirm contributions are being received, consolidate multiple funds if you have them, and review the insurance held inside your super. More frequent contributions can support insurance continuity, but it’s still important to ensure your level of cover remains appropriate for your circumstances.
Resources such as ASIC’s MoneySmart website provide practical guidance on finding lost super, consolidating accounts, understanding tax and super, and maintaining a simple superannuation calendar to stay on track.
Treasury estimates that around 8.9 million employees could benefit from higher retirement savings over time as a result of receiving super contributions earlier and more regularly. More frequent payments also make it easier to identify any missing contributions sooner and take action if needed. If you ever notice that expected contributions haven’t been paid, the ATO and Fair Work Ombudsman can assist.
Industry modelling highlights the long-term impact of earlier investing. When super is paid more frequently, funds are invested sooner and have longer to benefit from compounding returns. Over a working lifetime, even small timing differences can make a meaningful contribution to retirement savings.
The Australian Retirement Fund says the new legislation means it could help employees’ super grow faster.
“If you only get paid super every 3 months, your money spends less time invested in your super. With less time to invest, you might retire with a bit less money than someone who gets their super paid more regularly,” the Fund says.
The Australian Super Funds Association concurs. It says: “The earlier super payments are invested in an employee’s super fund, the longer the money enjoys compounding returns. For a 25-year-old on an average wage, receiving super fortnightly rather than quarterly will mean they are $5,000 better off in retirement. The reform will also help address the problem of unpaid and underpaid super, which can seriously impact a worker’s retirement security. ASFA modelling shows that a 30-year-old worker on an average wage who misses out on one year of contributions will retire with $25,000 less in super.”
While Payday Super is a positive step for employees, it’s also a timely reminder to ensure your super is aligned with your broader financial plan. Reviewing your fund structure, contribution strategy, insurance and long-term retirement goals can help you make the most of these changes.
If you would like to review your superannuation or discuss how these changes may affect your financial position, we’re here to help.
