If you are in business in Australia and you have employees, whether you’re employing your first employee or your tenth, it’s good to know what single touch payroll (STP) is and what it involves. Single Touch Payroll is one of those compliance requirements you need to get right. It’s not optional, and the ATO checks it.

What is single touch payroll?

Single Touch Payroll (STP) is the ATO's way of making payroll reporting easier and more accurate. Instead of reporting employee payroll information annually, employers report relevant payroll information to the ATO for each pay event. Designed to take the friction out of the process, reduce errors, and help the ATO match records in real time.

Note: STP is separate from your business's overall tax filing obligations. You still need to file your annual tax return and other business tax information as required.

STP was introduced by the ATO to modernize how Australian businesses report payroll. It’s all electronic, and it’s instant, rather than paper-based or at the end of the year. It is created to benefit employers, employees, and the ATO by catching errors faster, reducing compliance complexity, and giving employees visibility into their income records.

But here’s the thing: how you choose to handle STP, whether that’s managing it yourself with a single touch payroll software or outsourcing it, is one of the first decisions you’ll make as an employer. Before you implement it, here’s what you need to know about how it works, its cost, and the best approach for your business.

STP is not a particular product or software; it’s a standard of reporting. You can lodge reports using any one of the single touch payroll software or services that support STP. The key is that you report to the ATO electronically, not manually, with each pay run.

Why STP matters: compliance, accuracy, and penalties

Is Single Touch Payroll compulsory? In Australia, Single Touch Payroll is mandatory for employers. If you have any employees on your payroll, you are required by law to report via STP. Businesses under a certain size, small businesses, or startups are not exempt (with rare exceptions).

Why did the ATO make STP mandatory?

Reporting each pay run: You report payroll information to the ATO with each pay run rather than annually. This creates a more frequent touchpoint for identifying discrepancies — though not every error is caught automatically. The ATO may only identify some issues when it reviews records or during tax time reconciliation.

Easy to manage: No separate tax reporting and payroll records to keep up with. Everything is part of one integrated system. Less manual effort means cleaner audit records and fewer errors.

Employee perspective: You can view your employees' income and tax details in real time via the ATO's web portal. Transparency helps avoid pay or tax disputes and builds trust.

Why STP compliance matters for your growth

Staying compliant with Single Touch Payroll helps your business run smoothly. When you report on time and accurately, you avoid compliance headaches, and more importantly, you unlock opportunities:

Credibility with lenders & investors: Banks and investors expect clean, timely payroll reporting. STP compliance demonstrates that your business is professionally managed and operationally sound. This matters when you're seeking a loan or raising capital.

Operational clarity: Accurate, timely payroll reporting means you have real-time visibility into labor costs and tax obligations. This clarity helps you make better decisions about hiring, scaling, and budgeting, not react to problems later.

Peace of mind: When payroll is handled correctly and reported on time, you eliminate the back-and-forth with the ATO and the admin burden of fixing errors. That's time and energy you can redirect toward growing your business.

What happens if you fall behind: Late STP reports do trigger penalties (AUD $364 for each 28-day period, scaled by business size), but the real cost is the time and focus diverted from your core business. Compliance isn't a burden; it's the foundation that lets you scale confidently.

How STP works: mechanics, deadlines, and reporting timelines

STP reporting is a simple flow, but timing is important.

What is the process?

1. You pay your worker. This could be weekly, fortnightly, monthly, or whatever your pay cycle is.

2. You report to the ATO. You must lodge an STP report with the ATO on or before payday (the same day you pay your employee or earlier). This report contains:

• Name of employee, Tax File Number (TFN), and date of birth
  
• Gross income paid in this payroll
  
• Tax deducted (PAYG)
  
• Superannuation contribution (if any)
  
• Any concessions or waivers
  
• As of 1 July 2026: Qualifying Earnings (QE) and Superannuation Liability (L) year-to-date amounts (see section below)
  

3. The ATO gets and handles it. The ATO will verify the information against employee records. If there is a disconnect, they tell you to follow up.

4. The employee sees their record. The information will be reflected in the employee’s ATO online account in a few days. They can verify their income and tax are being reported correctly.

This process occurs with each and every pay run. If you pay weekly, you report weekly. If you pay biweekly, you're reporting every two weeks.

Reporting deadline: You have one business day to submit your STP report after paying your employee.

Compliance requires an understanding of payroll requirements. Who needs to report and what you need to include are listed below.

When must you report via STP?

You must report via STP if you meet all of the following conditions:

• Have one or more employees on your payroll
  
• Pay them a salary or wages
  
• Are an Australian business or a foreign-owned business operating in Australia
  

When do you not need STP?

You can opt out of STP reporting if you fall into one of these categories:

• Use contractors only (contractors declare their own tax)
  
• Don't have any employees
  
• Are a very small employer subject to certain exceptions (extremely rare – most small businesses are required
  

What do you need to report for each employee?

For each employee, you must provide the following information in your STP reports:

• Tax file number (TFN)
  
• PAYG withholding tax
  
• Any allowances, bonuses, or leave taken
  
• As of 1 July 2026: YTD figures for Qualifying Earnings (QE) and Superannuation Liability (L)
  

What are the technical requirements?

To submit STP reports, you'll need the following infrastructure and tools:

• Internet connection and payroll software that is STP-enabled
  
• Each employee's TFN (you will need to collect this when they start)
  
• Correct payroll information (hours worked, rates, deductions, allowances)
  
• Understanding of payday super (super contribution timing and amounts)
  
• As of 1 Jul 2026: Ability to report QE and superannuation liability figures disaggregated
  

Note: Where an employee Tax File Number (TFN) is not available, the appropriate TFN exemption code must be used.

This rule applies to scenarios where:

• An TFN has not yet been provided by the employee
  
• An employee is exempt from providing a TFN
  
• A TFN is pending or under verification
  

In such cases, ensure that the corresponding TFN exemption code is recorded in the employee file to maintain compliance and proper documentation.

Traditional payroll reporting vs. single touch payroll

If you've been running payroll in Australia for a while, you know the old system. Here's how it stacks up:

[Table:1]

The transition from traditional to STP is a shift from batch reporting annually to real-time continuous reporting. Cuts down on admin work spread across the year but requires reliable payroll infra from day one.

Meeting single touch payroll requirements: your three options

You can choose how to manage STP, but if you are subject to the requirements, you must still comply with them.

In terms of managing STP, you have three main options: single touch payroll software, outsourced payroll, or an employer of record service. Each approach trades off simplicity for control in different ways.

Option 1: Single Touch Payroll software (DIY approach)

What is it? You use or subscribe to Single Touch Payroll (STP) software such as Xero, MYOB, Guidepoint, or Paychex to manage your payroll and STP reporting.

[Table:2]

Ideal for: founders who want full control, have the time to manage payroll, or already use accounting programs such as Xero with STP built in.

Option 2: Outsourced payroll service

What is it? You use a company like Paychex, Aurion, or Employment Hero to do your payroll. payroll and STP reporting. Your provider manages employee info and timesheets and does the rest.

[Table:3]

Note: Costs vary significantly by provider, business size, complexity, and employee count. Request quotes from multiple providers to determine accurate pricing for your situation.

Ideal for: founders with little or no payroll experience or growing businesses who want to stay STP compliant without having to do payroll themselves.

Option 3: Employer of Record (EOR) service

What it is: An Employer of Record (EOR) is a company that acts as the legal employer for your employees and manages STP reporting, payroll, tax compliance, and superannuation on your behalf. They handle the day-to-day payroll processing and compliance administration, but you retain responsibility for providing accurate employee and work information to the EOR and for ensuring the EOR's work meets your business needs.

Key considerations:

• The EOR assumes significant payroll and employment administration responsibilities
  
• You remain responsible for the accuracy of information you provide to the EOR
  
• Compliance responsibilities may be shared; confirm what each party is responsible for in the contract
  
• You retain responsibility for managing the employment relationship with the employee
  

Understanding the three payroll models

Before choosing how to manage STP, it's important to recognize the basic differences between these approaches:

DIY Payroll Software: You are the employer and remain legally responsible for all payroll obligations, including STP compliance. You use software to automate calculations and reporting, but you manage the process and bear the compliance risk.

Outsourced Payroll: A service provider processes your payroll on your behalf, while you continue to be the legal employer. The provider handles day-to-day payroll processing and STP lodgement, but you typically retain some compliance responsibilities (such as accuracy of information provided). Responsibilities are shared based on the service agreement.

Employer of Record (EOR): An EOR becomes the legal employer of your employees and assumes significant payroll and employment administration responsibilities. However, compliance responsibility varies depending on the service agreement and jurisdiction. You should confirm the scope of responsibilities in the contract, as some compliance obligations may remain shared or rest with you.

Comparison table

[Table:4]

Sources:[1] STP Reporting & Lodgement Deadline

Your STP report is due on or before the pay day. The pay day is either the payment date stipulated in the electronic transaction to your financial institution or, if you did not specify a date for payment, the date you intend to make the payment into your employee's bank account.

Source: ATO - Rules of Reporting Through STP

[2] STP Phase 2 Reporting (QE/L fields)

From 1 July 2026, employers must report Qualifying Earnings (QE) and Year-to-Date Superannuation Liability through STP. From 1 July 2027, reports will be rejected if these fields are missing.

Source: ATO - Other Components of Your STP Reporting

Reference guide: ATO - Single Touch Payroll Phase 2 Employer Reporting Guidelines

[3] Payday Super Management & Payment Deadline

From 1 July 2026, employers must pay employees their super guarantee for each payday (instead of quarterly) and calculate super based on an employee's qualifying earnings.

Super contributions must be received by employees' super funds within 7 business days after payday.

Source: ATO - About Payday Super

Source: ATO - Payment Deadlines for Payday Super

Additional Source: STP Processing Time

Allow up to 72 hours of processing time after lodgment.

Source: ATO - STP Checklists

Important:

DIY Software (Payroll Software) You retain full responsibility for compliance with STP requirements, payroll tax obligations, and superannuation contributions. All compliance decisions and execution rest with you.

Outsourced payroll service responsibilities are shared between you and the provider. Confirm in your service agreement which party is responsible for:

• Data accuracy
  
• STP lodgement verification
  
• Compliance with pay frequency requirements
  
• Corrections or amendments needed
  

Employer of Record (EOR) Service The scope of compliance responsibility depends on the service agreement and jurisdiction. Confirm in writing which party is responsible for:

• STP Phase 2 compliance and lodgement
  
• Superannuation guarantee obligations and payment deadlines
  
• Award and entitlement compliance
  
• Employment law obligations (varies by state/territory)
  

Some responsibilities may remain shared or rest with you. Confirm responsibilities in writing before engaging an EOR provider.

Caveats:

Cost figures: No official ATO sources exist for payroll software or EOR pricing. Costs vary significantly by provider, features, employee count, and business complexity. Specific cost ranges should not be cited without verified sources. Request quotes from multiple providers for accurate pricing.

Compliance responsibility: The ATO does not define EOR arrangements. Responsibility is determined by the service agreement and varies by jurisdiction. This is not standardized across providers. Confirm responsibilities in writing before engaging any service provider.

Process details: For payroll software, exact processes for STP lodging and super payments depend on the provider and payment arrangements selected. Test your software's STP reporting process before relying on it.

Time commitment: Estimated based on typical payroll cycles; varies by business complexity, number of employees, and software features. Actual time may be higher for businesses with:

• Multiple pay cycles or irregular payments
  
• Complex award conditions or allowances
  
• High employee turnover
  
• Manual data entry
  

Significant changes (as of 1 July 2026): Substantial changes to superannuation reporting and payment timing have affected how STP works in conjunction with Payday Super. If you are an Australian employer with employees, the new law now applies to you. Ensure your systems are updated before 1 July 2026.

What changed with Payday Super from 1 July 2026?

Payday Super introduced several significant changes to how employers handle superannuation. Here's what shifted:

1. Super is now paid on payday

Instead of paying superannuation quarterly, you must now pay your employees' superannuation guarantee on the same day you pay their salary or wages. Super contributions must be received by employees' super funds within 7 business days of payday. Learn more at ATO - About Payday Super.

2. STP reports include new YTD fields

All STP reports must now include two new disaggregated fields:

• Qualifying Earnings (QE): Year-to-date amount of employee earnings that are eligible for superannuation contributions. The QE is reported using a new code replacing the old Ordinary Time Earnings (OTE) code.
  
• Superannuation Liability (L): Year-to-date superannuation you owe on behalf of the employee, based on their qualifying earnings.
  

You must report these fields alongside your normal salary, tax, and superannuation information with every pay period.

Important timeline:

• From 1 July 2026: You may start reporting QE and super liability
  
• From 1 July 2027: Reporting both QE and super liability becomes mandatory; reports without these fields will be rejected
  

Learn more at: ATO - Other Components of Your STP Reporting.

3. SBSCH (Small Business Superannuation Clearing House) closed permanently

The Small Business Superannuation Clearing House, which allowed employers to batch and delay super payments, closed on 1 July 2026. All employers must now use a SuperStream-compliant method to pay superannuation directly to funds. Learn more at ATO - Payday Super.

4. Employers need a SuperStream-compliant payment method

SuperStream is the mandatory standard for paying superannuation electronically. All super payments must now:

• Be made directly to employees' super funds (not via a clearinghouse)
  
• Include the correct fund and member information
  
• Be received within 7 business days of payday
  

Check with your payroll software provider or financial institution that your payment method is SuperStream-compliant. Learn more at ATO - SuperStream.

5. ATO's first-year compliance approach

The ATO recognizes that the transition to Payday Super is complex. For the first financial year (1 July 2026 – 30 June 2027), the ATO has adopted a compliance approach that considers:

• Whether employers made a genuine effort to comply with Payday Super requirements
  
• Whether issues were identified and corrected quickly
  
• The overall pattern of compliance efforts
  

The ATO should not primarily focus on employers who take reasonable steps to understand and implement Payday Super correctly during the first year, even if minor errors occur.

This does not mean:

• No compliance action will occur in the first year
  
• Intentional non-compliance is tolerated
  
• You can ignore reporting requirements
  

What it means:

• First-time mistakes made in good faith may be treated differently
  
• The ATO will support genuine compliance efforts
  
• After 30 June 2027, standard compliance and penalty provisions apply
  

Learn more at: ATO - Payday Super Legislation Introduced and Draft PCG

Important: If you use payroll software or an EOR service, they will need to update the code mapping for you. If you run payroll yourself, your system needs to be updated by 1st July 2026 (or as soon as you read this message after that date).

Understanding payday super: How it works with STP

In Australia, employers are legally obligated to contribute to their employees' retirement funds through superannuation.

Australian employers must understand how superannuation works with Single Touch Payroll (STP), especially after the changes that took place in July 2026. Your STP software will automatically calculate and report the required superannuation amounts, helping you meet your reporting and compliance obligations.

What is payday super?

Employers in Australia must make contributions to their employees' superannuation fund. Qualifying earnings include ordinary time earnings, commissions, salary sacrifice contributions, and certain workers who are treated as employees for super purposes. The superannuation guarantee is currently 12% based on qualifying earnings and is not scheduled to increase in 2026 and beyond.

Superannuation is a high ongoing cost, so understanding how it works is essential for budgeting and compliance.

How does it connect to STP?

There's an important distinction between three separate but related concepts:

STP Reporting: STP reports payroll and superannuation liability information to the ATO. The report shows how much super you owe and have paid to each employee during the financial year.

Payday Super (Payment Timing): From 1 July 2026, employers must pay employees their super guarantee for each payday (instead of quarterly). Super contributions must be received by employees' super funds within 7 business days after payday. This is the when — the new timing requirement.

SuperStream (Payment Method): SuperStream is the how — the technical standard for transmitting super payments to funds. You must use a SuperStream-compliant payment method to send contributions directly to each employee's fund.

How they work together: You report payroll and super liability through STP. You must pay Super via SuperStream within 7 business days. The fund confirms receipt to the ATO, and records are reconciled.

What's new as of 1 July 2026?

STP Reporting Changes: You must now report disaggregated amounts for Qualifying Earnings (QE) and Superannuation Liability (L) on each STP report as year-to-date figures, giving the ATO detailed visibility of super liability and payments per employee.

Payment Timing Changes: Super must now be paid on each payday (not quarterly), with contributions reaching employee funds within 7 business days.

Payment Method Changes: The Small Business Superannuation Clearing House (SBSCH) closed on 1 July 2026. You must pay superannuation directly to each employee's fund using a SuperStream-compliant method.

What do founders need to know?

• Qualifying earnings for super purposes are broader than ordinary time earnings alone — they include commissions, allowances, and salary sacrifice contributions
  
• Super contributions are compulsory at 12% of qualifying earnings
  
• Super contributions must be received by employees' super funds within 7 business days after payday
  
• Super liability is reported on each STP lodgement, including new QE and L fields (from 1 July 2026)
  
• Under-contributing is a breach of compliance and triggers penalties
  
• If you're using payroll software or an EOR, super is automatically calculated, tracked, reported (STP), and paid (SuperStream)
  
• SBSCH is closed — you must pay super directly to employee funds (or through your payroll provider/EOR)
  
• DIY payroll errors on Super are expensive and are caught immediately by the ATO
  

Tip: Use a service (software or EOR) that integrates with superannuation funds and automatically manages the new QE/L reporting and SuperStream payments. This removes the risk of sending super to the wrong fund, undercontributing, or missing reporting requirements.

Financial year considerations: end-of-year STP processes and 2026 deadlines

In Australia the financial year runs from 1st July to 30th June. At the end of each financial year, STP needs to be reconciled.

What happens at financial year-end?

1. All the STP reports are in. You have submitted an STP report for each pay run for the year.

2. End-of-year reconciliation. You (or your payroll provider) check all STP reports to ensure they’re correct. Corrections or amendments are to be submitted.

3. Closing it in ATO. You tell the ATO the STP reports for the year are true and complete. This process is the final step of reconciliation.

4. Payslips show individual pay period details (gross, tax, super). Income statements are the year-end documents employees use for tax returns, available in ATO online services and marked as 'Tax ready' for lodging tax returns. Learn more at the Australian Taxation Office.

Employers don't have to provide paper payment summaries if they report through STP.

5. You don’t have to file a separate return for your employment income like you did under the old system. The ATO already has this information from your STP reports.

6. Corporate tax return, if applicable. If your business is a company, you’ll still need to lodge a corporate tax return showing your business profit and loss – but employment income reporting is already done via STP.

What are the 2026 end-of-year deadlines?

For the 2025 – 26 financial year:

• Standard finalization deadline: 14 July 2026 – Most employers will need to complete their STP reporting by this date
  
• For employers with 20 or more employees, the finalization due date for closely held payees is 30 September each year
  
• For employers that have both closely held payees and arm's-length employees: The finalization declaration for closely held payees is due by 30 September each year, but you must still make a finalization declaration for arm's-length employees by 14 July.
  

What does this change mean for you?

• Year-end is easier with STP because the majority of the data is already in ATO.
  
• You must ensure that all STP reports are correct and completed by your deadline (July 14th or September 30th)
  
• Amendments must be lodged promptly
  
• 1st Jul 2026 new: Make sure QE and L fields are properly reported and reconciled for the entire year
  
• If you are using an EOR or payroll service, they do this reconciliation for you
  

Do you need something beyond a standard STP solution?

The correct choice depends on business stage, team size, and priorities.

Payroll software suits founders who prefer direct control and have payroll experience. An Employer of Record (EOR) suits founders who want to outsource employment administration entirely, freeing time to focus on product and growth. However, it's important to understand what an EOR does and doesn't do.

What an EOR can do:

An EOR becomes the legal employer and manages substantial payroll and employment obligations:

• Process payroll and calculate tax withholding
  
• Report STP requirements, including Qualifying Earnings and Superannuation Liability (QE/L) from 1 July 2026
  
• Manage superannuation contributions and fund administration
  
• Handle award rates and leave entitlements
  
• Prepare year-end finalization and payment summaries by deadlines (14 July 2026 for most; 30 September for closely held payees)
  

What remains the founder's responsibility:

Even with an EOR, founders retain accountability for:

• Providing accurate employee and work information to the EOR
  
• Verifying the EOR's compliance with obligations
  
• Understanding the scope of responsibilities in the service agreement (varies by provider and jurisdiction)
  
• Ensuring the EOR arrangement aligns with employment law in your state or territory
  

This arrangement is not an elimination of compliance responsibility; it is a delegation of day-to-day payroll processing with shared accountability based on the service agreement.

In other words, your STP compliance ensures the ATO gets paid properly, while Aspire EOR ensures your business stays compliant, your employees get paid correctly, and you spend your time building — not buried in payroll admin.

Note: An EOR service agreement defines which party is responsible for specific compliance obligations. Confirm these responsibilities in writing before engaging an EOR, as they vary by provider and jurisdiction.

Pick a strategy that will work for your business and put it into action today. Compliance deadlines don’t wait, and the ATO’s systems detect non-compliance immediately.

Frequently asked questions (FAQs)

Q: What single touch payroll software should I use?

A: Your single touch payroll software must support STP reporting. Most modern software like Xero, MYOB, Employment Hero, and Guidepoint supports STP natively. If your current system doesn't, you'll need to switch to single touch payroll software that does.

Q: Do I have to use single touch payroll if I have a small business?

Q: Yes. If you have employees, single touch payroll is compulsory unless you qualify for a very rare exemption. There is no size threshold — if you have one employee, you have to report using STP. If you’re not reporting yet but should be, get compliant now by contacting the ATO.

Q: What happens if I don't report via STP?

A: The ATO will apply penalties and warnings for non-compliance. The penalty is AUD 210 for every 28 days the STP report is late, scaled according to the size of the business. Small businesses face fines of up to AUD $1,050 for each 28-day period.

Q: What is the best single touch payroll software to buy?

A: Your single touch payroll software has to be enabled for STP reporting. Most modern software (Xero, MYOB, Employment Hero, Guidepoint, etc.) has native STP support. If you don’t have that, you’ll need to move to single touch payroll software that does. From 1 July 2026 your software will also need to be able to report new Qualifying Earnings (QE) and Superannuation Liability (L).

Q: How soon should I lodge STP reports?

A: Your STP report is due on or before the pay day. The pay day is either the payment date stipulated in the electronic transaction to your financial institution or, if you did not specify a date for payment, the date you intend to make the payment into your employee's bank account. Australian Taxation Office.

What the rule means:

• If you pay employees on Friday, your STP report is due by the end of Friday (not Monday)
  
• The report deadline aligns with your payment date, not a day after
  
• Unless you are eligible for a concession or have been granted a deferral, this deadline applies to all employers of the Australian Taxation Office
  

Why automation is practical (not strictly required):

While STP software is not legally mandatory, it makes meeting the "on or before payday" deadline much easier:

• Manual lodgment is risky because you must coordinate the timing of your payment with your report submission
  
• Software automates the process, reducing human error and timing issues
  
• Many employers use EOR services or outsourced payroll providers, which handle STP lodgement automatically
  

However, if you have 19 or fewer payees, you can report these amounts on or before each payday or quarterly. (This rule applies to closely held payees only; arm's-length employees must be reported on or before each payday.) Australian Taxation Office.

Q: Are you required to give your employees STP reports?

A: No. Here's what happens instead:

You don't need to issue paper payment summaries

You are not required to provide payment summaries (including part-year payment summaries) to your employees for the payments you report and finalise through STP. This requirement applies only to information reported through STP—if you have payments not reported through STP, you must still provide payment summaries for those. Australian Taxation Office

Employees access an income statement instead

The ATO makes this information available to your employees through ATO online services accessed via myGov. This information is called an income statement. It is the equivalent of a payment summary. Australian Taxation Office.

Once you complete your end-of-year STP finalization declaration by 14 July each year, your employee's income statement in ATO online services will be marked as 'Tax ready. ' They, or their registered agent, will be able to use the income statement to lodge their tax return. Australian Taxation Office.

Q: Can a small business use an Employer of Record service?

A: EOR services can be beneficial for small businesses as well as large corporations. Small businesses even use EOR services to avoid the time and effort of managing payroll and compliance themselves, although the cost per employee can decrease as your team grows.

Q: What is the latest Superannuation Guarantee Rate in Australia?

A: The Superannuation Guarantee (SG) rate is 12%. It rose to 12% on July 1, 2025 and remains at 12% from 2026.

Q. What are Qualifying Earnings (QE) and Superannuation Liability (L)? (New from July 1, 2026)

A: From 1 July 2026, you will need to report two new, broken-down fields on each STP report:

- Qualifying Earnings (QE): Year-to-date employee earnings that qualify for super contributions (using the new Q code)

- Superannuation Liability (L): Year-to-date super you're liable to pay

These fields give the ATO a detailed picture of your super obligations. These are calculated and reported automatically when using payroll software or an EOR.

Q: Does the Small Business Superannuation Clearing House (SBSCH) still exist?

A: No, it didn’t. SBSCH officially closed on July 1, 2026. No more batching and distributing super payments through it. You now have to pay superannuation directly to each employee’s superannuation fund or via a payroll service/EOR on your behalf.

Q: Is single touch payroll compulsory for small businesses?

A: Yes. Unless you have a very rare exemption, single touch payroll is compulsory if you have employees.