We are considering commencing payday super earlier, around May, and plan to start paying superannuation weekly so we can ensure everything runs smoothly before the 1 July 2026 requirement.
Our current practice is to pay super monthly in arrears. Therefore, the June 2025 super was paid in July 2025 and therefore became the first contribution recorded for the 2025–26 financial year.
If we begin paying super weekly from June 2026, the June 2026 contributions will also fall within the same financial year. This could potentially result in employees having 13 months of contributions recorded in one financial year instead of 12 for this financial year.
Could you please clarify whether this may create any issues, particularly for employees who are close to the Concessional Contributions Cap of $30,000? We are concerned that the timing change could cause some employees to exceed the cap and potentially incur additional tax.
Any assistance on how this situation should be managed would be greatly appreciated.
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