As part of the Payday Super changes, superannuation switches from being calculated on Ordinary Time Earnings (OTE) to Qualifying Earnings (QE). From 1 July 2026, QE forms the basis of superannuation calculations and will be reported through STP Reporting.
The Ordinary Time Earnings (OTE) field will be updated to Qualifying Earnings (QE) as part of the Payday Super compliance changes. Any component that has OTE ticked will have QE ticked after the change is applied and you have performed Change Tax Year.
To prepare for this change:
Review your current OTE setup.
Review superable components in your employer contributions.
Compare your setup against ATO Qualifying Earnings.
Once you have identified your Qualifying Earnings:
Update the OTE/QE configuration.
Update your Employer Contribution.
Complete this step after changing tax year and before entering your first pay for the 2026-2027 Financial Year.
Prepare for the change to QE
You can complete the steps below now, in preparation for the change to Qualifying Earnings:
Step One - Review your current OTE setup:
There are two ways that you can do this. The first is to use the STP2 Setup, which will allow you to review all components in one place. You will need Admin access to do this.
Go to Access MicrOpay Evo Administration, System Configuration, STP2 Setup.
Review OTE selection across the Pay Components, Additions and Deductions and Leave Reasons tabs.
Alternatively, add the STP2 OTE column to the grids below. Whilst you need to review multiple locations, you will be able to export the results using Save Grid.
Payroll, Maintenance, General, Pay Components
Payroll, Maintenance, General, Additions and Deductions
Payroll, Maintenance, Leave, Leave Reasons
Step Two - Review the superable components:
Run IQ-SuperPC - Super Scheme Pay Components and IQ-SUPERPCC - Super Scheme Payr Components Details.
Go to Common, IQ and run both:
IQ-SUPERPC - Super Scheme Pay Components.
IQ-SUPERPCD - Super Scheme Pay Components Details
Super Code represents the Employer Contribution Code, either enter:
the code for one Employer Contribution, e.g. the code of your 12% SGL employer contribution.
%, this is the wildcard for all Employer Contributions.
In IQ-SUPERPCD - Super Scheme Pay Components Details, you can specify an individual addition, deduction, leave reason or user defined leave class, by entering the code of the item in Pay Code, e.g. AB01 to see where the addition has been attached. To include all, use the wildcard, %.
Click OK to run the report.
Use Save Grid to export.
Note: If you have ticked one of the All boxes (e.g. All Additions before tax) in the Employer Contribution, the report will include All and can't differentiate which ones (if any) are excluded. In this instance, use the Addition & Deduction Codes tab of the Employer Contribution.
Step Three - Compare your current setup to Qualifying Earnings documentation
Compare the results from steps one and two to the ATO's documentation on Qualifying Earnings. This will help you identify the required changes for Qualifying Earnings.
To assist, we have created a summary document based on the ATO's documentation, Super Guarantee Treatment for Payday Super.
Update Qualifying Earnings
Below are the steps to complete your setup of Qualifying Earnings.
Step One - Update the OTE/QE setup
You can update pay components’ OTE settings before 1 July 2026 to match the new requirements for QE. If the current OTE setup is correct, changes should be minimal as OTE and QE treatment is the same for most payment types.
When Payday Super compliance changes are applied to MicrOpay:
The pay component OTE field is renamed to QE.
Current OTE settings (ticked or unticked) are retained.
If OTE settings are updated in advance, OTE in STP Reporting and STP Updates for the rest of the 2025-2026 year will be based on the updated QE setup. The OTE value may not balance to the Super Liability due to the change. Making this change will not alter how super contributions are calculated in the current financial year. QE will become more significant from 1 July 2026, when Payday Super obligations commence and QE is report via STP.
OTE/QE can be updated in two ways, either through the STP2 Setup or through the individual components. To use STP2 Setup you will need Admin access.
Go to Access MicrOpay Evo Administration, System Configuration, STP2 Setup.
Click on the Pay Components tab.
Tick OTE/QE for the required components.
Repeat step three for the Additions and Deductions and Leave Reasons tabs.
Click Save. The changes will update the components, additions, deductions and leave reasons.
Alternatively, you can edit the individual components.
Go to the relevant component area:
Payroll, Maintenance, General, Pay Components
Payroll, Maintenance, General, Additions and Deductions
Payroll, Maintenance, Leave, Leave Reasons
Edit the component that needs to be changed.
For Additions and Deductions or Leave Reasons, click on the STP Reporting tab.
Tick or untick Ordinary Time Earnings (OTE)/Qualifying Earnings (QE).
Click OK.
Step Two - Update the Employer Contribution
This step will affect how your super is calculated. You should complete this step after you have completed the End of Year for 2025-2026, but before you enter transactions for the first pay in 2026-2027.
Go to Payroll, Maintenance, Superannuation, Employer Contribution.
Edit the employer contribution.
Select the Calculation Parameters tab.
Ensure the correct Pay Components are ticked in the drop-down.
If you need to add Leave Reasons, Addition & Deduction Codes or User Defined Leave, select the relevant tab.
Click Select. This will display a list.
Highlight the item you want to add and click OK.
Ensure the Included column is ticked.
Repeat until all required components have been selected.
Click OK to save the change.
Note: The steps above are used when All Additions Before Tax or All Additions After Tax are unticked. If All Additions Before Tax is ticked, then by default, Super is calculated on all Additions Before Tax. In this instance, exclude selected Additions before Tax from super calculations by unticking Included.