Choice of fund

In most cases your employees can choose their super fund, but if they don’t, you need to make payments to your default super fund. You must provide them with a Standard Choice form within 28 days from the day they started working with you. You need to complete section B of the form with details of your default super fund before giving it to your employees.

Which employees are eligible to choose a super fund?

Most employees are eligible to choose a super fund to receive super guarantee contributions. Your employee is entitled to choose their own fund if they are:

  • employed under a federal award
  • employed under a former state award, now known as a 'notional agreement preserving state award' (NAPSA)
  • employed under another award or industrial agreement that doesn't require super support
  • not employed under any state award or industrial agreement (including contractors employed wholly or principally for their labour).

Some state laws also provide for choice of super fund under state based arrangements.

Which employees are not eligible to choose a super fund?

Your employee may not be eligible to choose their super fund if you are required to pay super contributions:

  • under a state industrial award or preserved state agreement
  • under a federal industrial agreement such as

-         a collective agreement
-         a pre-reform certified agreement
-         an old industrial relations (IR) agreement
-         an individual transitional employment agreement (ITEA)
-         a workplace determination
-         an enterprise agreement
-         an Australian Workplace Agreement (AWA) or pre-reform AWA

  • under an award or agreement that requires you to pay super contributions to a particular super fund
  • to the Commonwealth Super Scheme, Public Sector Super Scheme or another unfunded public sector scheme.

How can I find out if my employee is covered by an industrial agreement or award?

You can find out if your employee is covered by an award or agreement by checking with:

  • Fair Work Ombudsman (for federal and state awards and agreements)
  • The government agency responsible for workplace relations in your state or territory
  • Your employer association.

How can an employee choose a super fund?

An employee can choose a super fund by returning a completed Standard choice form to you or by providing you with a written notice that includes their employee identifier (if you have given them one) and the following information about their chosen super fund:

  • The fund name, ABN and USI*
  • The employee’s super account name and number
  • A compliance statement
  • Payment details for making contributions.

* A Unique Superannuation Identifier (USI) is used by superannuation fund administrators to identify superannuation funds for electronic rollovers.

Can I refuse to accept and employee's choice of fund request?

In most circumstances you are required to comply with your employee’s choice of fund request, however, you may refuse a request if:

  • the employee hasn’t provided all the required information:

-         the fund name, ABN and USI
-         the employee’s super account name and number
-         a compliance statement
-         payment details for making contributions

  • the employee has nominated another fund in the previous 12 months (you can however, choose to accept their request).

When do I need to make contributions to an employee's chosen fund?

If your employee provides a valid choice of fund request, you must start paying SG to the employee’s chosen fund within two months after receiving the request. Any contributions you make in the two months after receiving the form can be made to either your employer nominated super fund (your default fund) or the employee’s chosen fund.

You should retain the employee’s choice form for your records.

When do I pay super contributions for employees who don't choose a super fund?

If you've provided a Standard choice form to an employee and they haven't chosen a fund you must pay super contributions for your employee to your employer nominated superannuation fund (your default fund).

What happens if I don't meet my choice of fund obligations?

You could be liable for a 'choice liability' which is part of the superannuation guarantee charge (SGC). You could incur the choice liability if you:

  • don't give your eligible employees a Standard choice form within 28 days of them starting work
  • don’t pay your employee’s super contributions to their chosen super fund
  • charge your employees a fee for complying with their choice of fund.

Whether you own a small business or run a big company, BT Super can help you manage your employer super with ease.

Answer a few simple questions to help you check if you’re meeting your business super obligations and doing the right thing for your people. It only takes about 5 minutes.

Our dedicated business super team is here to help you with everything super-related.
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Fund details for BT Super

Fund - Retirement Wrap USI BTA0287AU RSE R1001327 ABN 39 827 542 991. Trustee - BT Funds Management Limited ABN 63 002 916 458 AFSL No. 233724 RSE No. L0001090.

BTFM is the trustee and the issuer of interests in BT Super, which is part of Retirement Wrap. A Product Disclosure Statement (PDS) is available for BT Super and can be obtained by calling 1300 553 010 or visiting  You should obtain and consider the PDS before deciding whether to acquire, continue to hold or dispose of interests in BT Super.

BTFM is a subsidiary of Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714 (Westpac). Unless otherwise disclosed in the offer document for the relevant financial product an investment in BT Super is not an investment in, deposit with or any other liability of Westpac or any other company in the Westpac Group. It is subject to investment risk, including possible delays in repayment and loss of income and principal invested. Westpac and its related entities do not stand behind or otherwise guarantee the capital value or investment performance of the specific investments you select or the account generally.

BT has not reviewed any awards or other industrial instruments or agreements that are, or may become relevant to your employees. BT Super may not satisfy your obligations under any such award or industrial instrument or agreement. Before making a decision about BT Super, we recommend that you seek legal advice on its appropriateness, having regard to the requirements of any awards or other industrial instruments or agreements that are, or may become applicable.

The information provided is factual only and does not constitute financial product advice. Before acting on it, you should seek independent financial and tax advice about its appropriateness to your objectives, financial situation and needs. The information is current as at February 2020 and provides an overview or summary only and it should not be considered a comprehensive statement on any matter or relied upon as such.