For many employers, it may also provide a single avenue for interacting with numerous funds. The processing of multiple payments to multiple funds and the different information each fund requires can be inefficient and time consuming.



The Data and Payment standard system or “The Standard” takes effect from 1st July 2014 for employers who have 20 or more employees. Employers with less than 20 employees have 1st July 2015 to implement.



Under the standard, employers will make super contributions electronically in a standard message format to the relevant superannuation funds and the payment through the banking system electronically. The payment and message are linked by a unique reference number and are sent on the same day so to make it easier for the funds to reconcile payments received to the correct employee account.



Employers will need to start looking at their current payroll and superfund software to see if it is going to be compatible with the new standard. They may need to upgrade their payroll software or use a service provider (e.g. commercial clearing house) whose software is compatible.



Now is the time to speak to your software provider to see if it going to be compatible or is taking steps to be compatible



Click here to find out what options may be available to you.