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why does myob pay super take so long
I have started processing Super through Myob as a trial, after using ATO Super clearing house for many years. I only processed one company's supers through MYOB, the other companies I work for, I co...
Hi all, there are some questions and concerns on this thread that I want to help clarify. Sorry that this hasnt been clear before now.
- Regarding the length of time to process - who is involved in the process? Why does it take so long? (is MYOB trying to get money from interest on these funds)?
- To be clear, MYOB does not receive any funds or payments in this process. The clearing house debits the payment, and then sends the payment to the funds.
- One of the reasons that you see things take time today, is that the funds have a 20 day window to allocate payments, but this is reducing to 3 days come the 1st July
- Who is responsible if the payment is not in the employees fund within 7 days?
- The legislation is written that it is the employers obligation to make sure super reaches the employees fund within 7 days.
BUT
This doesn't mean that you are on the hook for every step in the chain.
- The legislation is written that it is the employers obligation to make sure super reaches the employees fund within 7 days.
Practically speaking, if an employer authorises the super payment on payday before the 4pm AET direct debit cut-off, standard processing is:- 3–5 business days through the clearing house.
- Add the fund's 3-day allocation window on top
- And you're comfortably inside 7 business days as long as you're submitting on or close to payday. The risk for our customers (Employers) is when there are delays in authorising the payment.
Its important to note 2 more things here.- This is an industry-wide change. Funds, clearing houses and software providers (MYOB) are all adjusting to faster timing, and processing times are expected to improve across the ecosystem from end-to-end, not just at MYOB.
- The ATO has advised that employers making a genuine effort and resolving issues promptly aren't the focus of compliance action in the first year. Its important to remember that there's room to settle into the new rhythm, and the ATO has explicitly said delays caused by issues outside the employer's control (clearing house, fund processing) will be treated reasonably where the employer has done the right thing.
- Regarding the length of time to process - who is involved in the process? Why does it take so long? (is MYOB trying to get money from interest on these funds)?
