Whether you're starting a new business venture, changing career direction or simply moving up the corporate ladder, changing jobs can be an exciting and busy time in your life. It's also the ideal time to get moving and review your super.
If you are an employee, your new employer will make super contributions for you, usually to a fund of your choice. Right now an employer contributes 9.5% of your salary.
Making a choice
The majority of Australians can choose which super account their employer will pay contributions into. However, if you don’t make a choice, your employer will pay them into their default fund.
When you start your new job, you should receive a standard choice form from your employer. You can use this form to let your employer know where to pay your super contributions and ensure all your super is where you want it to be.
One super fund throughout your working life
Some of the potential advantages of consolidating your super into one account may include:
1. Avoid duplicate fees
With only one super account, you will avoid paying multiple sets of admin fees. This potential saving may help to grow your super balance for the future.
2. Streamlined and easy to monitor
Having just one super account can also mean less statements, reports, and charges, so you’ll have less administration to deal with and make it easier to track how your super is performing.
3. Easier management
By combining all your super into one account, it can be easier to manage your investment mix and ensure your super stays on-track to meet your long-term financial goals.
Find your super
If you've changed jobs in the past, but not consolidated your super accounts, you may have lost track of some of your super. At BT, our Super Specialists can help you find other super you may have and help you to consolidate it into your BT Super account.
However, it's important to note that super funds have different rules and conditions when moving your money to another fund. You should contact your super fund to find out if there are any fees or costs for moving your super or other loss of benefits such as insurance.
The information is current as at 19/11/2015.
This information has been prepared without taking account of your objectives, financial situation or needs. Because of this you should, before acting on this information, consider its appropriateness, having regard to your objectives, financial situation and needs.
BT Funds Management Limited ABN 63 002 916 458, AFSL No. 233724, RSE No. L000109 (BTFM) is the trustee and issuer of interests in BT Super for Life which is a part of Retirement Wrap ABN 39 827 542 991, RSE R1001327. A Product Disclosure Statement (PDS) is available for BT Super for Life and can be obtained by calling 132 135, or visiting www.bt.com.au. You should obtain and consider the PDS before deciding whether to acquire, continue to hold or dispose of interests in BT Super for Life.
There is no charge for accepting any rollovers, however before requesting the rollover, you should consider where your future employer contributions will be paid (if your employer contributions are currently being paid to another fund) and check with your other fund(s) to determine whether there are any exit or withdrawal fees for moving your benefit, or other loss of benefits (e.g. insurance cover), noting that you may not receive the same type or level of benefits after the rollover. You may not be covered for injuries or illnesses that have arisen since you took out previous insurance, and you may lose loyalty benefits.
There may be limited circumstances where your employer is not required to accept your Choice of Superannuation fund form e.g. if you have already exercised Super Choice in the last 12 months.