Here are some signs it’s time to sort out your super:
- Organising your superannuation has been on your to do list for longer than you can remember.
- You have multiple super accounts with a number of funds.
- Your unopened superannuation statements are piling up or your inbox has unopened emails containing super statements.
- Each time you to log into one of your super accounts you have forgotten your user name or password.
- When you change jobs and are asked to nominate a superannuation fund, you don't know the name of it and opt to go with your employer’s default account.
If any of these sound familiar, it’s time to take control of your superannuation. Here are some simple steps to get you started.
Step 1: Find lost superannuation
It can be a good idea to track down lost superannuation money or accounts you may have forgotten about, as having multiple accounts may result in paying more fees than necessary. You could also miss out on money in retirement. Not to mention keeping track of multiple accounts might be more difficult and create more admin for you.
Step 2: Consolidate your super into a single account
Once you know where all your superannuation is, you may like to consider consolidating (or rolling over) all the different balances into a single account. This saves on account keeping fees and means you can easily keep track of your super.
Before transferring different accounts into one, it is a good idea to check with your other funds to see if there are any exit fees for moving your benefit or loss of benefits such as insurance.
Step 3: Start with a superannuation standard choice form
Most super funds have a downloadable form you can print off to submit to your employer letting them know you want your super paid into your existing fund rather than your employer's nominated super fund, typically known as a superannuation standard choice form. This way all of your super is kept in one place without having to open another account, which could help maximise your benefits.
So what are you waiting for? Consider sorting your super today. Then you can erase one thing from that ever-growing to-do list.
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This article has been prepared by BT. BT is a part of Westpac Banking Corporation ABN 33 007 457 141, AFSL and Australian Credit Licence 233714 and is current as at 30 September 2020. 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. This article provides an overview or summary only and it should not be considered a comprehensive statement on any matter or relied upon as such.
Superannuation is a means of saving for retirement, which is, in part, compulsory. The government has placed restrictions on when you can access your investments held in superannuation. The Government has set caps on the amount of money that you can add to your superannuation each year and over your lifetime on both a concessional and non-concessional tax basis. There will be tax consequences if you breach these caps. For more detail, speak with a financial adviser or registered tax agent or visit the ATO website. 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. 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.