In response to the Commonwealth’s Protecting Your Superannuation (PYS) Package, Super SA has introduced a number of measures aimed at protecting low-balance accounts from being eroded by fees, and helping you keep track of any inactive or lost super.
How does it work?
If you have left employment and your super account is deemed to be an inactive low-balance, unclaimed or lost account, it may be flagged to be closed and the balance transferred to the Australian Taxation Office (ATO).
The ATO will attempt to consolidate your super with other super accounts you hold or pay your funds directly to you, based on the amount and your age.
At Super SA, we’ll attempt to notify you prior to any transfer to the ATO occurring and provide you with the opportunity to take action if you don’t want your super to be transferred.
Inactive low-balance accounts
Accounts may be considered inactive low-balance if the account is preserved (or retained) and:
- no contribution or rollover has been received within the last 16 months; and
- the balance of the account is less than $6,000; and
- no changes to investment options or binding death benefit nomination have been made on the account within the last 16 months; and
- no notice has been received from the account holder, electing for the balance to remain with Super SA.
If you have a preserved Triple S or retained Select account and it is identified as an inactive low-balance account, we’ll make every reasonable effort to contact you directly.
We will provide you with a Super SA Inactive Low-Balance Account Authorisation Form to complete if you wish to retain your super account with Super SA.
The Form will need to be completed by the relevant date*, and it will be valid for 16 months, after which your account may again be identified as inactive low-balance. Another form can be completed at that time.
However, if you have an inactive low-balance account and you do not complete and return this form, your super will be transferred to the ATO.
*The relevant date is 30 days prior to the end of the reporting period, i.e. 1 October for the reporting period ending 31 October, and 31 March for the reporting period ending 30 April.
‘Lost’ member accounts
Accounts may be considered as lost if the account is preserved (or retained) and:
- we have been unable to contact you; and
- we do not have your current postal or street address; and
- you have not contacted us or accessed your account within the last 12 months; and
- no contribution to the account has been received within the last 12 months.
If you have a preserved Triple S or retained Select account and it is identified as lost, we’ll make every reasonable effort to contact you.
If all attempted contacts are unsuccessful, we will transfer the balance of your account to the ATO at the next Statement Date (either 31 October or 30 April).
Once your account balance is transferred to the ATO, they will attempt to consolidate this into one of your other super accounts.
Further information regarding lost super can be found on the ATO website.
To prevent your account from being considered lost, it’s important that you keep your contact details up-to-date. You can do this online via our member portal, or by contacting our Member Services team.
Unclaimed money accounts
Accounts will be considered as unclaimed if the account is preserved (or retained) and:
- you are over the age of 65; and
- you have not claimed your benefit; and
- no contribution or rollover has been received to the account within the last two years; and
- we have not heard from you within the last five years; and
- we have been unable to contact you.
If you have a preserved or retained account and it is identified as unclaimed, we’ll make reasonable effort to contact you before transferring your super to the ATO.
To stop your super from being transferred to the ATO, you’ll need to claim your benefit. In doing so, you may wish to roll over your benefit to one of our post-retirement products.
We also recommend seeking professional advice from a licensed financial planner. You can choose your own planner or you can take advantage of the service available through Industry Fund Services.
Contact our friendly Member Services team if you need further information.