Subcontractor agreement for Australian head contractors
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What this document does
This agreement engages a subcontractor to do part of the work you owe your own client. It runs with the Security of Payment rules instead of against them, so the payment terms hold up: monthly claims, a payment schedule, and no pay-when-paid. It requires the subcontractor's statement and insurance certificates that shield you from their unpaid workers-comp premiums and payroll tax. You answer plain questions and download it ready to sign.
The questions we’ll ask
Your details (Head Contractor)
Your address & signature
Subcontractor's details
Subcontractor's address & signature
The project
Site & start
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Questions people ask.
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- Does this comply with Security of Payment law?
- It is drafted to run with the Building and Construction Industry Security of Payment Act, not around it. It uses monthly payment claims, a 10-business-day payment schedule, a due date within the statutory maximum, no pay-when-paid, and a section 34 savings clause so nothing reads as contracting out. You cannot sign away a subcontractor's right to a progress payment, and this agreement does not try to.
- Will it stop my subbie being treated as an employee?
- It is built to win on substance: the subcontractor controls how the work is done, supplies its own labour and plant, carries its own insurance and can subcontract down. A document alone does not decide it. If you pay a subbie by the hour, set their hours and direct their method, they can still be an employee, with superannuation now payable each payday. The guidance after you buy says so plainly.
- What is the subcontractor's statement and why does it matter?
- It is the approved form where the subcontractor confirms its workers-compensation premiums, payroll tax and workers' pay are up to date. Without a current statement you can be personally liable up the chain for the subbie's unpaid premiums and payroll tax. This agreement requires it with every payment claim.
- Is there a version for residential building work?
- Yes. Turn on the residential option and the agreement imports the Home Building Act statutory warranties and notes the licensing the work needs. It also flags that home-warranty insurance is the head builder's job, not something to push onto the subcontractor.
- Is this a subscription?
- No. It is $59 once. No monthly fee, no auto-renewal. You buy the document and reuse it for the next subbie.
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