Many Australians have more than one superannuation account. In fact figures from the Tax Office show around 45% of Australians have more than one super account.
There are a variety of reasons why people may have more than one super account. In some cases the idea of transferring balances into a single super account may seem difficult or complicated (it’s not). Or you may have lost superannuation savings that you aren’t even aware of.
Whatever the case, having all your superannuation in the one account whilst saving for retirement could make good financial sense.
With only one superannuation account, you could avoid paying multiple sets of account keeping fees. Over time this can make a significant difference to the value of your superannuation at retirement.
Having one superannuation account can also mean fewer statements and reports, so you’ll have less administration to deal with and this makes it easier to track how your superannuation is performing.
If you have queries about your superannuation, it’s a lot easier and less time consuming to have a single point of contact rather than dealing with several different funds.
By transferring all your superannuation 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.
Throughout your working life it’s likely you’ll change jobs – maybe even change the direction of your career. Having one superannuation account can make it easier to let future employers know where to pay your super contributions.
Your super is your money – even if you can’t normally access it until retirement. So it’s worth keeping track of, and this could be easier when you have all your superannuation in one account.
Before requesting a transfer, we recommend that you check with your other funds to see if there are any exit fees for moving your benefit or other loss of benefits such as insurance.
Next: Finding lost super
This information is current as at 15/08/2016.
This information has been prepared without taking account of your personal 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.
This information provides an overview or summary only and it should not be considered a comprehensive statement on any matter or relied upon as such.
Before requesting a 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.