You’ll have an extra step to take if your new employees don’t choose a super fund from 1 November 2021.
The ATO will soon require the individual's ‘stapled super fund’ details . Their online system will use rules based on the regulations to work out and return your employee’s stapled super fund in response to a request.
What is a ‘stabled super fund’?
A stapled super fund is an existing super account that is linked, or 'stapled', to an individual employee so that it follows them as they change jobs.
What do I need to do?
Step 1: Offer your eligible employees a choice of super fund
Most employees are eligible to choose what fund their super goes into. There is no change to this step of your super obligations.
Step 2: Request stapled super fund details
If your employee doesn’t choose a super fund, you may need to log into the ATO's Online services and go to ‘Employee Super Accounts’ to request their stapled super fund details.
The ATO will provide the employee’s stapled super fund details, if available.
Step 3: Pay super into a default fund
If your employee hasn't chosen a super fund and it has been established that the individual hasn't got a stapled super fund listed with the ATO, only then can you pay their super into a default fund.
Regardless of the changes, it's always a good idea to make sure your super is right for you and encourage your employees to do the same.
Note: You cannot provide recommendations or advice about super to your employees, unless you are licensed by the Australian Securities & Investments Commission (ASIC) to provide financial advice.
As always, our team is here to help. If you would like assistance or have a question, contact us.
Source: Request stapled super fund details for employees (ATO)