Payday Super locks in fairer retirement for part-time and casual workers: Rest

Rest, one of Australia’s largest profit-to-member superannuation funds, says countless working Australians, especially part-time and casual workers, will achieve a fairer retirement thanks to the passage of the Payday Super legislation today.

Rest’s Chief Strategy Officer Tyrone O’Neill says a significant proportion of Rest’s 2 million members are currently paid their Superannuation Guarantee payments less frequently than their take home pay.

“Thanks to these significant reforms, these members will soon receive their super at the same time they’re paid. They will receive a meaningful financial benefit through the compounding returns on more frequent contributions,” says Mr O’Neill.

“Aligning Superannuation Guarantee payments with payroll cycles will also make it easier for members to track their contributions, which is particularly important for those whose working hours vary week to week.

“We congratulate the Government and the Australian Parliament on passing this legislation and look forward to continuing to work with employers and industry on implementing the changes.

“We also welcome the Australian Taxation Office releasing a draft guidance on compliance to assist employers preparing for the first year of these reforms when they commence on 1 July 2026.”

The ATO has proposed their compliance approach includes that “employers who try to do the right thing from 1 July 2026 to 30 June 2027, and resolve any issues quickly, should not be the focus of ATO compliance action.”

Rest has been working closely with employers to prepare for the proposed Payday Super changes and is in the process of finalising a new, simple, compliant solution.