Payday super and cash flow implications for labour hire apositive 162548155595
Published: 1-Oct-24 | By APositive
Payday Super and cash flow implications for labour hire - APositive
From July 1st 2026, proposed legislation will require Australian employers to pay superannuation contributions on payday, replacing the current quarterly payment system. The reform aims to enhance retirement savings and reduce unpaid superannuation. However, it may create cash flow and administrative challenges, particularly for labour hire and recruitment businesses with frequent pay cycles.
If passed, the legislation will require employers to pay superannuation within seven days of each payday to avoid penalties, potentially impacting cash flow planning.