CPA Australia, along with five other accounting bodies and the SMSF Association, is calling on the ATO to extend support and transitional relief for employers as they meet compliance requirements for the Payday Super reforms to be introduced on 1 July 2026.
“Given the scale of change and reliance on third-party systems, we strongly recommend extending the transitional compliance period and providing clearer guidance on key concepts such as ‘reasonably practicable’ and voluntary disclosure statements,” the joint bodies said in a submission to the regulator.
Further, they pointed out the changes required across payroll, finance and superannuation systems would be more onerous for small businesses. As such, they have recommended transitional relief be extended from the currently proposed 30 June 2027 for low-risk employers until 30 June 2028 to give employers time to adapt.
“Payday Super is a positive step for workers, but the transition must be fair and practical for employers,” CPA Australia superannuation lead Richard Webb acknowledged.
“Many businesses will need to overhaul payroll systems, change clearing houses and retrain staff – all within a short timeframe. We’re calling for a longer compliance window and clearer guidance to help employers get it right.”
The submission noted around 250,000 employers currently use the Small Business Superannuation Clearing House, which will no longer be operable from 1 July 2026.
“These businesses will need to find new providers and ensure their systems are compliant – that’s a big ask in a short time,” Webb said.
CPA Australia and the professional bodies have also called for “ATO-led nudge messaging” to help employers monitor superannuation payment timing and system performance, along with clearer relief for employers affected by fund mergers, incorrectly rejected contributions and third-party delays.
The professional bodies involved in making the joint submission to the regulator are the Australian Bookkeepers Association, Institute of Certified Bookkeepers, Institute of Public Accountants, SMSF Association, The Tax Institute, CPA Australia and Chartered Accountants Australia and New Zealand.
