What a payslip is, and why it's required
A payslip is the written record an employer must give an employee for every pay run. Under section 536 of the Fair Work Act 2009 and regulation 3.46 of the Fair Work Regulations 2009, the payslip has to be issued within one working day of pay day, in printed or electronic form, and must contain a defined set of fields.
Beyond compliance, the payslip is how an employee reconciles what they earned against what they were paid, audits PAYG withholding, superannuation, and HECS deductions, and proves income for things like rental applications and Centrelink reporting.
Mandatory payslip fields
Every Fair Work-compliant payslip must include the following:
- Employer name & ABN — the legal entity paying the employee.
- Employee name — the person receiving the payment.
- Pay period — start and end dates of the period being paid.
- Date of payment — the date the money is actually paid.
- Gross & net pay — total earnings before tax and the final amount paid.
- Loadings, allowances, bonuses — itemised separately so each is auditable.
- Deductions — PAYG withholding plus any post-tax deductions.
- Superannuation — amount of contribution and the fund the contribution is paid into (the Superannuation Guarantee rate is currently 12.0%).
Electronic vs paper payslips
Either is fine. Most employers email a PDF or publish to a payroll portal — both are acceptable as long as the employee can access and print them, and the mandatory fields are present.
Record retention: Employers are required to keep pay records for at least seven years. Employees should keep their own copies for tax-time reconciliation and proof-of-income requests.
How earnings are broken down
For salaried staff, earnings are usually a single base-salary line. For hourly and award-covered staff, the payslip itemises ordinary hours alongside any penalty rates that applied during the period — commonly overtime (1.5× or 2×), Saturday and Sunday loadings, and public-holiday rates (often 2.5×). Allowances (travel, meals, tools) and bonuses are shown as separate lines because some are non-taxable and the breakdown is what makes audits possible.
Tax, super and HECS on payslips
PAYG tax withheld is the income tax the employer collects each period and remits to the ATO. Super is the employer's contribution on top of wages — it's not deducted from net pay; it's an employer cost — and it lands in the employee's super fund. HECS/HELP repayments, when applicable, appear as a separate withholding line and are reconciled at tax time.
Year-to-date totals
Most payslips show running YTD figures for gross, tax, super, and net. These should reconcile to the year-end income statement reported via Single Touch Payroll, viewable in myGov.
Issuing payslips as a small business
If you pay yourself (or a small number of staff) without payroll software, you still need to issue Fair Work-compliant payslips. The payslip generator produces a PDF that meets the field requirements: fill in the employer/employee details, pick salary or hourly, add any allowances or bonuses, and download.
What to do if your employer isn't issuing payslips
Raise it with your employer first — sometimes it's a payroll oversight. If it's unresolved, the Fair Work Ombudsman can investigate and require back-issue. Keep your own records (bank statements, time sheets) in the meantime.
Common questions
How long do I need to keep payslip records?
Employers must keep employee pay records for at least seven years under the Fair Work Regulations. Payslips themselves should be issued to the employee within one working day of pay day, but the employer's record-keeping obligation is the longer one.
Can I issue an electronic payslip?
Yes. Electronic payslips (a PDF emailed to the employee, a secure portal, etc.) meet Fair Work requirements as long as the employee can access and print them, and the same mandatory fields are present.
What's the difference between a payslip and an income statement?
A payslip covers a single pay period. An income statement (formerly called a payment summary or PAYG summary) is the year-end record your employer reports to the ATO via Single Touch Payroll, viewable in myGov.
How do I show salary sacrifice on a payslip?
Salary sacrifice arrangements (additional super, novated lease, etc.) reduce gross taxable income. The payslip should still show the full pre-sacrifice gross plus a clearly labelled deduction or sacrifice line so the employee can reconcile it.
What goes on a final or termination payslip?
A final payslip includes ordinary pay for the period, any unused annual leave paid out, any redundancy or notice payments, and the corresponding PAYG withholding. Employment termination payment (ETP) components are itemised separately and have their own tax rules.
What if my employer isn't giving me payslips?
Withholding payslips is a breach of the Fair Work Act. Raise it with your employer first; if it's unresolved, you can lodge a complaint with the Fair Work Ombudsman, who can investigate and require back-issue.
