For years, the ATO’s Small Business Superannuation Clearing House (SBSCH) has been a simple, free tool for small businesses to meet their superannuation obligations for employees. It allows employers to pay contributions for multiple employees in one place, without the headache of dealing with each super fund individually.
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But this convenience is coming to an end. As part of the Payday Super reform, the SBSCH will permanently close from July 1, 2026. From October 1, 2025, only existing users will be able to access the system until it shuts down. After this date, employers will no longer be able to register as new users.
This change marks a major shift for small businesses, particularly those that have relied on the SBSCH for years to stay compliant. Here’s what the closure of the clearing house means, what risks it creates, and how you can prepare for a smooth transition.
Why is the SBSCH closing?
The closure is tied to the government’s payday super reforms. From July 1, 2026, all employers will be required to pay superannuation at the same time as salary and wages, a move designed to improve compliance and ensure employees receive their entitlements more promptly.
Rather than relying on the ATO’s clearing house, the government wants businesses to use modern payroll software or commercial clearing house providers that integrate directly with Single Touch Payroll (STP). These systems allow super contributions to flow automatically with each pay run, aligning with the payday super requirement.
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The key dates you need to know:
October 1, 2025: New employer registrations for the SBSCH close. If you’re not already using the service, you won’t be able to sign up after this date.
June 20, 2026: Last day the SBSCH will operate for existing users.
July 1, 2026: The SBSCH will be switched off completely. Employers must have an alternative solution in place.
The risks for employers
The SBSCH has long been a safety net for small employers, but with its closure, businesses face new challenges:
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Missing deadlines: Super is only considered paid when received by the employee’s fund. If you don’t have a new system ready by July 2026, you risk missing the strict deadlines under Payday Super and triggering the Superannuation Guarantee Charge (SGC).
Increased admin pressure: Without a replacement in place, some businesses may fall back on paying super manually into each employee’s fund. This is not sustainable, especially under Payday Super rules that require contributions with every payroll cycle.
Cash flow stress: Paying superannuation quarterly has long given employers breathing room. With Payday Super, contributions will need to be paid in real time. For businesses without proper forecasting, this could cause short-term cash flow crunches.
Your options beyond the ATO
The good news is that solutions already exist to take over once the SBSCH is gone:
Payroll software clearing houses (recommended): Platforms like Xero, MYOB and QuickBooks include integrated superannuation payment services. These are designed to work hand-in-hand with STP and will automatically process contributions when you run payroll.
Third-party clearing houses: Several private providers offer clearing house services. They typically charge fees but provide extra reporting, tracking, and support that can ease the transition to Payday Super.
Industry super fund services: Some industry funds provide their own clearing house facilities for employers. While less flexible if you have staff in multiple funds, they can work well for businesses with a more uniform workforce.
Final thoughts
The ATO’s Small Business Superannuation Clearing House has served its purpose well, but its days are numbered. From October 1, 2025, new registrations will be blocked, and by July 1, 2026, the system will shut down completely.
This is more than just an admin change. It’s a complete shift in how employers manage super obligations. Under Payday Super, superannuation will no longer be something to tick off quarterly; it will be part of every pay run.
The message for small business owners is clear: don’t wait until the last minute. Explore your payroll software’s super features, test your cash flow under real-time contributions, and have your new system in place well before the SBSCH closure.
Preparation now will save you stress, penalties, and frantic last-minute fixes. More importantly, it will show your employees that you value their superannuation and are ready to meet the new standards of compliance with confidence.
