You Sent the Super Payment. What if the Fund Never Received It?
With Payday Super now operating, a payroll payment that looks complete on your screen is not always the end of the story.
Written by: Melissa Cunliffe (CA)
Super Payment Compliance: Why Confirming Fund Receipt Matters
Every super payment should be checked against the relevant clearing house and fund acknowledgement to confirm that the contribution has been successfully received.
What has changed?
Under Payday Super, employers generally need qualifying super contributions received by the relevant fund within seven business days of payday, with exceptions and transition provisions applying in specified circumstances.
A rejected contribution, incorrect member number or wrong fund information can prevent successful receipt. Submitting a payment instruction is not the same as successful receipt.
Why should you care?
A staff member changes funds but the payroll file still has old details.
The employer sends super through a clearing system, receives an error and overlooks the notification.
The missed contribution can create a compliance problem even though the bank payment was initiated in good faith.
The employer’s response, records and timeliness of correction matter.
What we are seeing in practice
A small construction business asks, “Xero says we paid the super, so why has the employee said nothing arrived?”
The first step is to reconcile payment records to the clearing service and fund acknowledgements, then investigate the rejection or delay. Do not assume the system will fix incorrect details automatically.
What can you do now?
Nominate a person to check rejected, pending and returned contributions after each pay run.
Verify new starters’ and changing employees’ fund details.
Reconcile clearing-house and fund acceptance records to payroll and bank entries.
Correct problems promptly, document actions and seek advice about any potential shortfall.
Something to think about
Who in your business confirms super was received, rather than merely submitted?
At 4P’s Future Accounting, we help family businesses understand the numbers, protect what they have built and plan for what comes next. The right answer depends on your circumstances, so obtain specific advice before acting.
Need help reviewing your payroll processes and superannuation obligations?
Contact 4P's Future Accounting for guidance on keeping your business records and financial processes in order.
Disclaimer
This article does not constitute financial advice and is for general information only. It does not take into account any individual’s personal objectives, situation or needs, and is not intended as professional advice. Any similarity to an individual’s personal circumstances and the examples provided in this article is purely coincidental. Any person acting upon such information without receiving specific advice, does so entirely at their own risk.
Authorisation under an Australian Financial Services Licence (AFSL) is not required in the provision of this article and the author plus Future Accounting Group Pty Ltd is not acting in its capacity as an Australian Financial Services Licence holder
Liability limited by a scheme approved under professional standards legislation.
