Which debt first? Put every pressure in the right order

How does the sorter decide the order?

It ranks pressures by two things: what happens if you do nothing, and how soon. Anything with a legal clock and a serious consequence goes to the top. A director penalty notice can make a director personally liable after 21 days. A statutory demand leads to a presumption of insolvency after 21 days. A garnishee is already taking your cash. These are "today" items because every day of delay removes options.

Next come the pressures that affect people and can become personal: wages, super and withheld tax. Staff must be paid at least monthly under Fair Work rules, payday super requires contributions to reach funds within 7 business days of payday, and PAYG withholding, GST and super guarantee charge all sit inside the director penalty regime. After that come the things the business needs to keep trading — premises, secured lenders and key suppliers — and then the slower-moving debts.

Why not just pay whoever is loudest?

Because volume isn't the same as danger. A supplier who rings every day may be less of a threat than a quiet envelope from the ATO with a 21-day clock inside it. Paying the loudest creditor first can leave the most dangerous one unpaid until it's too late. The sorter is designed to take the noise out of the decision.

What if everything is urgent?

That's more common than you'd think, and it's usually a sign that juggling has stopped working. When several "today" and "this week" items land together, a single funded solution often makes more sense than trying to satisfy each creditor in turn. Read several creditors at once for the thinking, and how to avoid liquidation if the pressure is serious.

What should I do with the list?

Work from the top. For each "today" item, open the linked page, check the dates with the debt letter triage tool, and make the call or payment. For "this week" items, put a written proposal to each creditor. For "this month" items, set a date and stick to it. Keep lodging BAS on time throughout, even where you can't pay yet. If funding is part of the answer, a 60-second enquiry gets a real person looking at your situation — with no credit check at that stage and no spraying of your details to a list of lenders. Please fill it in accurately so we can match you to the right option first time.

Frequently asked questions

What order should I pay business debts in?

Start with anything that has a legal clock or immediate consequence — a garnishee, DPN, statutory demand, bankruptcy notice or winding-up application — then wages, super and withheld tax, then premises, secured lenders and key suppliers, then other ATO debt and unsecured creditors.

Why does super rank above most suppliers?

Because it affects your people directly, the super guarantee charge grows quickly under payday super, and unpaid super guarantee charge can become a director's personal liability through a director penalty notice.

Is this sorter legal or financial advice?

No. It's a general way of ordering common business pressures by consequence and deadline. Your own letters, contracts and circumstances come first, and you should get advice if you think the company may be insolvent.

When should I consolidate instead of paying debts one by one?

When several pressures land at once and paying one means delaying another. A consolidation loan can pay them out together and leave you with one repayment, provided the business can service it.

Does the sorter store or send my answers?

No. It runs in your browser only. If you want to talk it through with someone, the enquiry form is separate, and there's no credit check when you first enquire.