Changes to inactive super accounts with low balances

New government rules mean super funds are required to close inactive super accounts with a balance of less than $6,000 and transfer the monies to the Australian Taxation Office (ATO). The ATO will attempt to proactively transfer these monies to an ‘active’ super account, if the member has one.

What is an ‘inactive’ account?

A super account can be considered inactive if, in the last 16 months:

  • no contribution or rollover has been made into the account

  • no changes have been made to investment options or insurance (including opting in) arrangements

  • the member has not met a prescribed condition of release

  • a binding beneficiary nomination has not been received or amended

  • the member has not provided the super fund a written declaration that they are not a member of an inactive low-balance account and wants to keep the account open.

What does this mean for me?

If your BT super account is ‘inactive’ and has a balance of less than $6,000 it may be closed and the monies transferred to the ATO to be consolidated with your ‘active’ super account.

You may also receive rollovers from the ATO into your BT super account from inactive accounts you may have had with other super providers.

If your account with us is a pension account, including a transition to retirement account, you are not impacted by these changes. 

To find out more about how the ATO will proactively consolidate your super, click here.

What you can do to keep your super with BT

If you’ve heard from us and we’ve told you that your BT super balance may be transferred to the ATO, but you want to keep your account with BT open, there are a few different things you can do before the transfer date we’ve provided.

You can complete and lodge an ‘Inactive low-balance authorisation’ form. Download and print the form on the right hand side of this page – then complete and sign it and return it to us:

  • By Email: Scan the completed form and email it to us at ILBA@BTFinancialgroup.com

  • By Mail: Send the completed form to us at BT GPO Box 2675, Syd­ney, NSW 2001. 

We’ll then let the ATO know you’ve asked for your account to stay open. 

Alternatively, if you make a contribution or rollover to your account, make changes to your insurance, make or amend a binding beneficiary nomination, or change your investment options, before the transfer date, your account will be considered ‘active’ and won’t be closed or transferred to the ATO.

IMPORTANT: If you hear from us, make sure you act before the transfer date we have given you if you want to keep your super account with BT.

Why have I received a super rollover into my account from the ATO?

If you’ve logged into your BT super account and seen a recent rollover from the ATO, this may mean you had an inactive account with a balance less than $6,000 with another super provider that was closed and the monies sent to the ATO. If your ‘active’ account is with BT, they will have transferred those super monies to your account with us.

To find more information on where your super rollover came from, or your closed account(s) – refer to the exit statement you should receive from the super provider who managed your closed account – or log on to your myGov account if you have one.  

Helpful links

How do I find out details of the rollover received into my account from the ATO?

To find more information on where your super rollover came from, or your closed account(s) – refer to the exit statement you should receive from the super provider who managed your closed account – or log on to your myGov account if you have one.  

Can I call you to let you know I want to keep my account open, rather than complete a form?

Un­for­tu­nately, we can’t take your re­quest to keep your ac­count open over the phone – as the new su­per rules re­quire you to com­plete the form pre­scribed by the ATO. You can down­load the form from this page.

Rather than completing a form, are there other ways to keep my account open?

Yes. If you make a con­tri­bu­tion or rollover to your ac­count, make changes to your  in­sur­ance, make or amend a binding ben­e­fi­ciary nomination, or change your in­vest­ment options, within 16 months, your ac­count will be con­sid­ered ‘ac­tive’ and won’t be closed or trans­ferred to the ATO. To find out more about how to make your ac­count ‘ac­tive’ call us and we can help.

What if I don’t let the ATO know what I want to do with my super after it’s sent to them?

If you don’t no­tify the ATO where you would pre­fer your su­per monies to be trans­ferred, they will at­tempt to trans­fer the su­per they hold for you to your ‘ac­tive’ su­per ac­count, if you have one i.e. an ac­count that’s re­ceived a con­tri­bu­tion or rollover within the cur­rent or pre­vi­ous fi­nan­cial year.

Alternatively, you’ll still be able to request that it be transferred to your preferred super account.  Just log into your myGov account to do this.

My super product only offers the ability to nominate a non-binding beneficiary (it does not offer a binding beneficiary nomination). If I make a non-binding beneficiary nomination, will this stop my inactive account being closed and transferred to the ATO?

No, only binding beneficiary nominations are considered as ‘activity’ and will not stop your account being closed and monies transferred to the ATO. 

If your super product does not offer the ability to nominate a binding beneficiary and you would like your account to remain open, you may need to consider undertaking one of the other actions outlined. These include completing the ATO form that can be found here, making a contribution or rollover to the account, or making a change to investment or insurance options

Some BT super products offer the ability to nominate a binding beneficiary, while others such as BT Super for Life do not.

If you want to know more about what your product offers, you can refer to the Product Disclosure Statement (PDS) or call us on 132 135 and we can help. 

I have a transition to retirement (TTR) account or pension account. Am I affected by these changes?

No – TTR and pension accounts are not impacted and will not be closed, regardless of their balance.

Why have these changes been made?

These changes are part of the gov­ern­men­t’s ‘Pro­tect­ing Your Su­per’ pack­age – which aim to stop in­ac­tive ac­counts with small bal­ances be­ing eroded by fees – giv­ing your su­per the best chance to grow. 

The government-initiated changes and the process to consolidate your super accounts will mean that more of your super will be in one place, with the intention to make it easier to manage and track. It could also mean less fees, which could lead to a higher super balance in the long term and potentially more income in retirement.

Be MoneySmart      

The government’s ASIC MoneySmart website offers free, independent guidance so you can make the most of your money – including more information on the ‘Protecting Your Super’ insurance in super changes, insurance calculators, education and tips.  

Want to opt into insurance?

If you have been contacted by us and want to opt in visit our Insurance opt-in page 

Call 132 135

Talk to our Customer Relations team
8:00am – 6:30pm Mon-Fri
(Sydney/Melbourne time)

Things to know

BT Lifetime Super – Employer Plan
BT Funds Management Limited ABN 63 002 916 458, AFSL 233724 (BTFM) as the trustee of and the issuer of interests in BT Lifetime Super – Employer Plan (LSEP), which is part of Retirement Wrap ABN 39 827 542 991. A Product Disclosure Document is available for LSEP and can be obtained by calling BT Customer Relations on 132 135 or visiting bt.com.au. You should obtain and consider the PDS before deciding whether to acquire, continue to hold or dispose of interests in LSEP.

BTFM is a member of the Westpac Banking Corporation ABN 33 007 457 141 (Westpac) Group. An investment in LSEP 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 or loss of income and principal invested. None of Westpac or its related entities stands behind or otherwise guarantees the capital value or investment performance of LSEP.

BT Business Super
Westpac Securities Administration Limited ABN 77 000 049 472, AFSL 233731, RSE L0001083 (WSAL) as the trustee of and the issuer of interests in BT Business Super (BTBS), which is part of Westpac MasterTrust – Superannuation Division RSE R1003970, ABN 81 236 903 448. A Product Disclosure Document is available for BTBS and can be obtained by calling BT Customer Relations on 132 135 or visiting bt.com.au. You should obtain and consider the PDS before deciding whether to acquire, continue to hold or dispose of interests in BTBS. WSAL is a member of the Westpac Banking Corporation ABN 33 007 457 141 (Westpac) Group. An investment in BTBS 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 or loss of income and principal invested. None of Westpac or its related entities stands behind or otherwise guarantees the capital value or investment performance of BTBS.

BT Super for Life
BT Funds Management Limited ABN 63 002 916 458 AFSL 233724 (Trustee) is the trustee and issuer of BT Super for Life which is part of Retirement Wrap ABN 39 827 542 991. Insurance within BT Super for Life is issued by Westpac Life Insurance Services Limited ABN 31 003 149 157 AFSL 233728 (Insurer). A Product Disclosure Statement (PDS) and Financial Services Guide (FSG) for BT Super for Life can be obtained by calling 1300 653 553 or visiting bt.com.au. You should consider the PDS before deciding to acquire, continue to hold or dispose of interests in BT Super for Life.

The Trustee is a member of the Westpac Banking Corporation ABN 33 007 457 141 (Westpac) Group. An investment in BT Super for Life is not an investment in, deposit with, or any other liability of, Westpac Banking Corporation ABN 33 007 457 141 (Westpac), or any other company in the Westpac Group. It is subject to investment risk, including possible delays in repayment, or loss of income and principal invested. Except as expressly disclosed in the PDS or the Additional Information Booklet for BT Super for Life, Westpac and its related entities (including Trustee and the Insurer) do not stand behind or otherwise guarantee the capital value or investment performance of any investment options or any related assets of BT Super for Life.

This information does not take into account your personal objectives, financial situation or needs and so you should consider its appropriateness, having regard to your personal objectives, financial situation and needs having regard to these factors before acting on it.

The information is current as at 14 June 2019.