Business & Investment Update: What You Need to Know This Quarter

From payroll reform to professional development, this edition unpacks several important developments affecting businesses, employers, and investors. We explore the new Payday Super laws that will reshape employer obligations, clarify when study expenses like MBAs can legitimately deliver tax benefits, outline the ATO’s increasing focus on SMSF trustee education, and explain why cash may soon be back on the counter for many retailers.

It’s a practical, forward-looking update designed to help you stay compliant, confident, and ready for the changes ahead.

Inside This Issue

1. Super on Payday: Fundamental Changes for Employers

2. Unlocking Tax Savings: Can Your MBA (or Other Studies) Pay Off at Tax Time?

3. Know the Rules Before You Break Them: Why SMSF Education Matters More Than Ever

4. Cash Is Making a Comeback – Is Your Business Ready to Take It?

Super on Payday: Fundamental Changes for Employers

From 1 July 2026, superannuation guarantee (SG) contributions will need to be paid on payday, rather than weeks or months later. Known as Payday Super, this reform became law on 4 November 2025 and aims to close Australia’s $6.25 billion unpaid super gap.

What’s Changing?

• Employers must pay SG contributions within seven business days of each payday.

• Late payments will trigger the Superannuation Guarantee Charge (SGC), which includes interest and administration penalties.

• While SGC amounts will generally be tax-deductible, any penalties for late payment will not be.

• The ATO will also retire the Small Business Superannuation Clearing House from 1 July 2026, meaning all users will need alternative systems.

The Government estimates more frequent SG payments could add around $7,700 to the average worker’s retirement savings.

Why It’s Good for Business

• Less admin – No more quarterly super bottlenecks.

• Fewer compliance risks – Real-time ATO oversight means issues are identified earlier.

• Stronger employee trust – Staff see super contributions hit their accounts regularly.

• Smoother cash flow – Smaller, more frequent payments can reduce quarterly pressure.

The ATO will take a risk-based approach in the first year, prioritising education and support for compliant employers.

How to Prepare Now

1. Check payroll software compatibility with payday-aligned super.

2. Map out your pay cycles and the corresponding 7-day payment window.

3. Train payroll staff and keep up to date with ATO resources.

4. Model your cash flow to accommodate more frequent SG payments.

5. Review contributions regularly to ensure payments clear on time.

If you outsource payroll, speak with your provider early — many are already updating systems.

The Bottom Line

Payday Super is both a compliance obligation and an opportunity to modernise payroll, strengthen employee confidence, and reduce long-term admin pressure. If you'd like support preparing for the transition, our team can help.

Unlocking Tax Savings: Can Your MBA (or Other Studies) Pay Off at Tax Time?

Further study can be a powerful career move — and in some cases, a tax-effective one. Whether an MBA or another qualification is deductible depends on factors including your course type, your current employment, and the way your study is funded.

Loan Type Matters

• HECS-HELP – not deductible Deductions are specifically denied for fees paid via HECS-HELP, even if the study relates to your job.

• FEE-HELP – potentially deductible If the course directly relates to your current employment duties, the tuition fees may be deductible, even when paid via FEE-HELP.(Note: loan repayments themselves are not deductible.)

The Nexus Test

The ATO will only allow a deduction when the study:

• maintains or improves skills needed in your current role, or

• is likely to lead to higher income in that same role.

It won’t apply if the course is intended to help you change careers.

Employer support (such as a study allowance) can help demonstrate relevance, but it’s not conclusive on its own.

What You Can Claim

Eligible expenses may include:

• Tuition fees

• Textbooks and stationery

• Some travel costs

• Professional or specialist course materials

Practical Tips

• Confirm whether your course uses HECS-HELP or FEE-HELP.

• Maintain course outlines, job descriptions, and employer support evidence.

• Claim only expenses with a direct work connection.

• Consider a private ruling for large claims.

Handled correctly, deductions for further study can return thousands in tax savings. Speak to us if you’re planning study or preparing your tax return — timing and documentation make all the difference.

Know the Rules Before You Break Them: Why SMSF Education Matters More Than Ever

Running an SMSF offers control and flexibility — but it also carries strict legal obligations under the Superannuation Industry (Supervision) Act 1993 (SISA). Many SMSF breaches arise simply because trustees don’t fully understand the rules they are required to follow.

Why Trustee Education Matters

• Compliance starts with awareness — you can’t avoid breaching rules you don’t know exist.

• Early detection prevents escalation — small issues become big (and expensive) when unnoticed.

• Protecting retirement savings — penalties, rectification costs, and loss of concessional tax treatment directly impact members’ balances.

ATO’s New Focus: Education Directions

The ATO’s draft Practice Statement PS LA 2025/D2 outlines when it may issue an education direction, compelling trustees to complete specified training in response to compliance concerns.

However, this is a last-resort tool — trustees should pursue education proactively, not in response to a breach.

Practical Steps for Trustees

• Complete the ATO’s SMSF courses on setup, running, and winding up an SMSF.

• Use the ATO’s knowledge checks to identify knowledge gaps.

• Seek professional advice early when uncertainties arise.

• Keep thorough records of training, decisions, and advice received.

The Bottom Line

Education isn’t optional for SMSF trustees — it’s essential risk protection. Proactive learning and good documentation strengthen compliance and safeguard your fund’s long-term outcomes.

Cash Is Making a Comeback – Is Your Business Ready to Take It?

The Government has released draft regulations that would require certain retailers to accept cash for in-person purchases under $500, starting 1 January 2026.

Who Must Accept Cash?

• Fuel retailers

• Grocery retailers (large chains and independents)

Who Is Exempt?

• Businesses or franchise groups with annual turnover under $10 million

This means most small retailers won’t be required to accept cash — but larger operators will need to bring back cash-handling processes many have phased out.

Why the Change?

• To protect vulnerable consumers who rely on cash

• To support resilience during power outages, network failures or natural disasters

• To ensure essential goods remain accessible to all Australians

What This Means for Businesses

Larger retailers may need to reintroduce:

• Cash floats and tills

• Staff training for handling and verifying cash

• More frequent banking and reconciliation procedures

Smaller retailers should maintain clear, accurate financial records to demonstrate they fall under the $10 million exemption.

Preparing Now

• Review your payment policies

• Assess whether you fall within the proposed rules

• Consider efficiency tools like smart safes or digital cash counters

• Understand your obligations and exemptions clearly

Note: The material and contents provided in this publication are informative in nature only.  It is not intended to be advice and you should not act specifically on the basis of this information alone. 

If expert assistance is required, Contact the team @ Clear Accounting Solutions to run you through your options