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What payroll changes will come into effect from 01 July 2026

While most employers are already focused on the massive shift to Payday Super coming on 1 July 2026 which requires superannuation contributions to be paid on the same day as regular wages at a 12% rate, there are also a number of other changes coming from 01 July 2026.

The key payroll-related changes that are coming into effect from 01 July 2026 include:

  1. The Small Business Superannuation Clearing House (SBSCH) will be closed permanently from 1 July 2026 as part of the Payday Super reform.
  2. From 1 July 2026, the National Minimum Wage will increase by 4.75%, the new National Minimum Wage will be $1,004.90 per week or $26.44 per hour. The new National Minimum Wage will apply from the first full pay period on or after 1 July 2026.
  3. The Lump Sum D threshold will increase to $13,598 + $6,801 for each completed year of service.
  4. The ETP indexed cap is changed from $260,000 to $270,000 starting 1st of July 2026. The Whole of Income cap remains at $180,000 as this is a non-indexed figure.
  5. Quarterly Maximum Employer Super Contribution Cap will increase to $8,125.00 per quarter from 1st of July 2026. (This represents an annual equivalent of $32,500.00).
  6. On 1 June 2026, HELP debts will be indexed by 2.8% based on the Consumer Price Index (CPI) which is lower than the rate of 3.2% from 2025.

In addition, at the state level, there are a number of changes coming in as well, mostly beneficial for employers:

  • NT: From 1 July 2026, the Payroll Tax Act 2009 will be amended to introduce a higher payroll tax rate of 6.5% for employers, and members of payroll tax groups, with Australia-wide wages of $100 million or more. The amendments leave the current $2.5 million tax free threshold, deduction settings and general 5.5% rate unchanged for all other employers.
  • ACT: ACT Payroll Tax Amendment Bill 2025 takes effect from 1 January 2026, raising the rate to 8.75% from 7.85% for large employers with Australia-wide wages over $150 million. Smaller employers remain unaffected at existing rates.
    Rate and Timing: Split-period for 2025-26: 7.85% (July-Dec 2025), then 8.75% (Jan-Jun 2026). Retrospective from 1 July 2025, but a higher rate applies only post-1 January.
  • VIC: Monthly threshold change from $75,000 into $83,333

See the full list of payroll tax thresholds and rates here.