How real-time payments may future-proof Australia’s superannuation industry

Mar 18, 2025 – 4.35pm

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Real-time payments could be transforming superannuation, and potentially enhancing security, engagement, and efficiency as retirement numbers grow.

Real-time payments are considered a boost for superannuation.

As of June 2023, six million Australians could access their superannuation, with another three million eligible within a decade, according to ASIC and APRA¹.

Ethan Teas, Executive general manager of Payments CommBank, says the increase in the number of members in retirement phase (including an increase in payments out of their superannuation account) presents new challenges – particularly in terms of security and engaging fund members. “The safety aspect is really critical,” he says. “Members who are prime targets for scammers now have a material amount of money sitting somewhere and are suddenly going to want to tap into it.”

Many new retirees won’t have thought much about superannuation before withdrawing money. “The fund doesn’t have a history of them, so it could be difficult to identify anomalies in their behaviour that could indicate fraud,” says Teas.

Advances in payment technology, data use, and artificial intelligence may help address these challenges. CommBank’s NameCheck system compares account names to numbers to help combat fraud. Digital proof, such as ConnectID and the Australian government’s myID, may also play a role in verifying identities and securing payments.

Catherine McDonald, managing director, Institutional Client Coverage, CommBank, says it is an exciting time for the super industry in Australia, with demographic and regulatory changes coming into focus. “We have been working to better understand the needs of our super fund clients. CommBank sees great opportunities to support the industry with potentially safer and more innovative payments.”

A matter of engagement

As more Australians retire, super funds may have to consider how to engage with this growing cohort. Teas says they should think about the type of relationship they want with members and how to establish it.

A 2024 survey² by J.P. Morgan shows that super funds are prioritising member engagement and communication strategies as they update their operating models. CommBank collaborated with J.P. Morgan in piloting its anti-scam technology NameCheck.

Deanne Stewart, CEO, Aware Super, says leveraging new technologies, particularly digital solutions and AI, was vital to getting more superannuation fund members the help they needed to achieve their goals for retirement.

“As super funds grow in scale and the population ages, more people will need help to retire well and great member service is increasingly important to how well super funds respond to the challenge,” Stewart says.

“At Aware Super we’ve digitised more than 90 per cent of our transactions and the benefits have been clear in an easier, more helpful service experience for our members, while also giving our teams more time to focus on the personalised guidance and advice that gives people confidence in their retirement goals.”

Personalisation counts

The New Payments Platform (NPP©*) provides near real-time digital payments with messages up to 280 characters, adding payment context and reducing customer queries.

“You can tell a story in the payment,” says Teas. Messages can include key record-keeping details, aiding tax affairs. Real-time payments improve customer experience. “Immediacy is critical,” he notes.

Super funds can use payment data insights to help members optimise liquidity when withdrawing cash. “Funds with visibility can provide context on how members behave relative to others,” says Teas.

Payment innovations may benefit accumulating members. The NPP’s PayTo® feature enables payment adjustments via banking apps, which may enhance efficiency, transparency, and financial flexibility.

New super needs

Another issue superannuation funds will grapple with is Payday Super, requiring employers to pay their employees’ super at the same time³ as their wages, rather than paying it quarterly.

Once again, data-rich real-time payments can help manage the transition. “With Payday Super, we’re speeding up everything and increasing the frequency. And in that, we can’t tolerate today’s error rates,” says Teas.

Real-time payments and receipts confirming payment should help, with any irregularities surfacing quickly. “The payment flows can be much more approximate to the data flows,” says Teas.

Things you should know

This article is intended to provide general information of an educational nature only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as financial product advice. You should consider seeking independent financial advice before making any decision based on this information. The information in this article and any opinions, conclusions or recommendations are reasonably held or made, based on the information available at the time of its publication but no representation or warranty, either expressed or implied, is made or provided as to the accuracy, reliability or completeness of any statement made in this article.

¹ ASIC/APRA: Pulse check on retirement income covenant implementation.

² J.P. Morgan: Future of superannuation report.

³ ATO: Payday superannuation.