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Step 2
Set Up Qualified Earnings (QE)
Configure how super is calculated for each pay run under Payday Super.
What are Qualifying Earnings?
Qualifying Earnings (QE) are the earnings that super is calculated on for each pay run.
From 1 July 2026, QE replaces the traditional OTE model in STP reporting and is used to calculate super each payday.
✅ What you need to do
- Ensure correct earnings are included in QE
- Activate the QE parameter in Jobpac
- Confirm QE values calculate correctly in payroll
What is included in QE?
✓ Generally included
Ordinary hours earnings
Salary and wages
Allowances
Bonuses and commissions
Paid leave
Salary sacrifice super
Labour-based contractor payments
✗ Generally excluded
Reimbursements
Genuine overtime
Lump sum termination payments
Expense-only allowances
Before you activate QE
- All FY payroll runs are complete
- Payroll is reconciled
- STP income statement is finalised
- Payroll year has been rolled over
Activate QE in Jobpac
Set Parameter "OZEDI" Position 5 = "Y" after 1 July 2026.
Parameter: OZEDI (Position 5)
✅ You're ready to proceed when:
- QE parameter is enabled
- Relevant earnings are included
- QE values appear correctly in payroll
- Super calculations align with QE totals
Validate your QE setup
Check QE values in:
- STP submission files
- STP2 EMP Gross Values screen (Column AO)
Quick validation check
QE (Column AO) × 12.5% = Super (Column AP)
▶️ Next Step
👉 Return to the Guide Hub to continue
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