Major changes are underway for employers who use the ATO’s Small Business Superannuation Clearing House (SBSCH). As part of the government’s broader superannuation reforms, the SBSCH will permanently close on 1 July 2026, meaning businesses will need to transition to a new way of making super payments.
For many small businesses, the SBSCH has been a simple, reliable way to manage super contributions, so planning ahead is essential to avoid disruption, errors, or compliance issues once the service shuts down.
What’s Changing?
The ATO has confirmed the following key dates for the SBSCH closure:
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New employer registrations closed: 1 October 2025
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Final quarter for SBSCH use: March 2026
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No payments processed after: 30 June 2026
From 1 July 2026, employers will no longer be able to use the SBSCH for any superannuation contributions.
This change comes alongside the introduction of Payday Super, which requires employers to pay super at the same time as wages from 1 July 2026. With both reforms happening together, now is the perfect time for businesses to review and update their payroll and super processes.
What This Means for Employers
If your business currently uses the SBSCH, you’ll need to switch to another payment method before the start of the 2026–27 financial year. Alternative options include:
✔ Direct payments to each employee’s super fund
This is suitable for tiny teams, but may become time-consuming as staff numbers grow.
✔ A commercial superannuation clearing house
Many clearing houses can handle multiple funds, provide reporting, and integrate with other systems. Some are free for fund members; others charge fees.
✔ Payroll software with built-in super payment capability
Modern payroll platforms can automatically distribute contributions across multiple funds in a single process, saving time and reducing error risk.
The most important consideration is ensuring your chosen method is compliant, timely, and reliable.
What Small Businesses Should Do Now
Preparing early will help your business transition smoothly and avoid last-minute stress. Here are the key steps to take:
1. Confirm Your Current Setup
Check whether your business currently uses SBSCH or another method. Understanding your starting point makes it easier to plan the transition.
2. Explore Alternative Options
Review what will work best for your business size, payroll frequency, and software setup. Consider costs, features, integration, and reliability.
3. Set Up and Test the New Process
Implement your chosen method well before mid-2026. Testing ensures you catch issues early and gives you time to adjust processes if needed.
4. Review Employee Super Details
Make sure employee fund names, member numbers, and account details are accurate and active. Incorrect data can cause payment failures or delays.
5. Maintain Clear Records
Document all super payments, confirmations, and system changes. Good records support compliance and give peace of mind.
6. Plan Ahead for Timeframes
With the SBSCH closing and Payday Super starting, your super payment frequency may change. Consider the cash flow and timing impact now.
7. Seek Professional Guidance if Needed
A qualified bookkeeper or BAS Agent can ensure you remain compliant, streamline your systems, and help troubleshoot any issues.
By acting early, you can transition smoothly, compare solutions, and ensure your business is fully prepared for the SBSCH shutdown.
How Your Bookkeeper Can Support This Transition
We play a crucial role in helping small businesses through the SBSCH closure. We can:
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Review existing superannuation processes
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Recommend suitable clearing houses or payroll software
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Assist with setup, onboarding, and testing
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Ensure compliance with upcoming Payday Super requirements
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Provide ongoing support to prevent missed or delayed contributions
Early conversations with a trusted bookkeeper make the transition easier, more organised, and far less stressful.
Need Help Preparing for the SBSCH Closure?
Diverse can help you review your current super setup, transition to a compliant payment method, and prepare for both the SBSCH closure and the introduction of Payday Super.
If you’d like support or guidance tailored to your business, reach out to the team today. We’re here to help you stay compliant and confident as you head into 2026.
