The Small Business Super Clearing House (SBSCH) is a free government service operated by the ATO that simplifies super payments for eligible small businesses. Instead of making separate payments to multiple super funds for different employees, you make one payment to the SBSCH and it distributes contributions to each employee’s fund.
Who Is Eligible for the SBSCH?
The SBSCH is available to businesses that meet either of the following criteria:
| Eligibility Test | Threshold |
|---|---|
| Number of employees | 19 or fewer employees at the time of payment |
| Annual turnover | Less than $10 million |
You need to meet only one test — if your business has more than 19 employees but turnover is under $10 million, you may still be eligible.
Who Counts as an Employee for the Purpose of the 19-Employee Test?
The employee count includes:
- Full-time employees
- Part-time employees (each counted as one person, not FTE)
- Casual employees who are on your books at the time you make the SBSCH payment
- Directors who are employees
Contractors are generally not counted as employees for this test.
How to Register for the SBSCH
SBSCH registration is done through the ATO’s Online Services for Business portal:
- Log in to ATO Online Services for Business (via myGovID / RAM — Relationship Authorisation Manager)
- Navigate to Super > Small Business Super Clearing House
- Select Register
- Enter your business details and confirm eligibility
- Add your employees and their super fund details (fund name, USI, member account number)
If you already use ATO Online Services for Business for other tax purposes, registration is straightforward. If you are new to the portal, you will need a myGovID linked to your ABN via the RAM framework.
How Payments Work via SBSCH
Once registered and your employees’ fund details are entered:
- Log in to ATO Online Services for Business
- Navigate to SBSCH and select the relevant quarter or pay period
- Enter the contribution amount for each employee for that period
- Review the payment summary showing each employee’s fund and contribution
- Submit the payment request
- Make a single payment to the SBSCH using BPAY or Electronic Funds Transfer (EFT)
- The SBSCH allocates and forwards each employee’s contribution to their respective fund
Processing time: The SBSCH aims to process payments and forward to funds within 3 business days of receiving your payment. However, you should allow more time — particularly at quarter-end periods. Factor processing time into your quarterly payment schedule to ensure contributions reach funds by the due dates (28 October, 28 January, 28 April, 28 July).
Deemed Payment Date
One significant advantage of the SBSCH: your super contribution is considered paid on the date you pay the SBSCH — not the date it reaches the employee’s fund. This means if you pay the SBSCH on 28 October, the contribution is counted as on time even if it takes several days to process to the fund.
This is different from paying funds directly, where the date the fund receives the payment matters.
SBSCH and SuperStream Compliance
Using the SBSCH counts as SuperStream-compliant payment. SuperStream is the mandatory electronic standard for super payments — all employers must pay super using SuperStream. The SBSCH is one method of meeting this requirement.
When you submit contributions via the SBSCH:
- Fund details (USI, ABN, member numbers) are required — the SBSCH uses these to route payments correctly
- Contribution data (member name, TFN, contribution amount, period) is transmitted electronically to each fund
- SuperStream compliance is achieved
Updating Employee Fund Details
Employee super fund details can change — employees may choose a different fund, or their stapled fund may be different from what was previously recorded. To update employee fund details in the SBSCH:
- Log in to ATO Online Services for Business
- Navigate to SBSCH > Manage employees
- Select the employee and update their fund’s USI and member account number
Keep fund details current. Contributions sent to the wrong USI or an inactive account may be rejected and returned, creating delays and potential SGC liability if the due date is missed.
SBSCH Limitations vs Commercial Clearing Houses
The SBSCH is free and sufficient for many small businesses. However, there are some limitations compared to commercial payroll/clearing house providers:
| Feature | SBSCH | Commercial Clearing House (e.g. Xero, MYOB, Employment Hero) |
|---|---|---|
| Cost | Free | Included in payroll software subscription |
| Integration with payroll | Manual — enter contributions separately | Automated — contributions calculated from payroll data |
| Payday super (from 2026) | TBC how SBSCH will handle | Commercial providers typically update for legislative changes |
| Processing speed | 3+ business days | Often faster |
| Batch employee limit | All employees | All employees |
| Support | ATO help desk | Vendor support |
For businesses using payroll software with built-in clearing house functionality (Xero, MYOB, KeyPay, Employment Hero), the integrated approach saves time. The SBSCH remains a viable free option for very small businesses with simple payroll arrangements.
Record-Keeping Requirements
Employers must keep super contribution records for 5 years. When using the SBSCH:
- Save or print your SBSCH payment summary after each quarter
- Keep records of the amounts paid per employee per period
- Note the date of SBSCH payment (this is your “contribution date”)
- Keep evidence of your bank payment to SBSCH
These records are needed in the event of an ATO audit or employee dispute about super payments.
Payday Super and the SBSCH
From 1 July 2026, employers must pay super with each payroll run (payday super). It is not yet confirmed how the SBSCH will be updated to facilitate payday-frequency payments. Businesses currently using the SBSCH on a quarterly basis should monitor ATO communications as 2026 approaches and prepare to transition to more frequent payment processing.
Frequently Asked Questions
Can sole traders use the SBSCH? Yes — if a sole trader has employees (i.e. people they pay wages to other than themselves) and meets the eligibility criteria, they can use the SBSCH. A sole trader paying only themselves is not an employer for SG purposes.
Do I need to use the SBSCH if I already use payroll software? No — if your payroll software has built-in SuperStream-compliant clearing house functionality, you can pay super through that instead. The SBSCH is an option, not a requirement. As long as you pay via a SuperStream-compliant method by the due dates, you are compliant.
What if I exceed 19 employees after registering? Eligibility is assessed at the time of each payment. If your employee count exceeds 19 (and your turnover also exceeds $10 million) at the time of a payment, you may no longer be eligible. The ATO may contact you if they identify you are no longer eligible. You should transition to a commercial clearing house or pay directly to funds if this occurs.
Is the SBSCH available to not-for-profit organisations? Yes — if the organisation meets the employee count or turnover criteria.
See also: Employer Super Obligations. For further guidance, see the ATO’s Small Business Super Clearing House page or consult a registered tax agent.