FAQs for employers

  • 27 May 2022 - Live Q&A webinar to support WGP members
  • 26 May 2022 - BT Super and Mercer Super entered into a Heads of Agreement to merge

This dedicated webpage will help you find out more about the intended merger of BT Super into Mercer Super in 2023.

The merger will create a $65 billion super fund with the scale and potential to deliver stronger performance, lower fees and broader member services for more than 850,000 Australians.

This merger only affects members with BT Super, BT Super for Life and BT Super for Life – Westpac Group Plan accounts, whose super will be transferred to Mercer Super Trust.

Securing the future for BT members and their employers

The BT Super Trustee engaged broadly across the industry and underwent a robust and competitive process to find the right future partner who shares our passion to help members have the best possible retirement.

Learn more about the steps that were taken to ensure the best financial outcomes for members in this Westpac Wire interview with the BT Super Trustee Chair, Gai McGrath.

What are the potential benefits from the merger?

By being part of a much larger fund, members and employers will have the potential to benefit from:

Benefits for members

  • Stronger performance.  Mercer’s default investment strategy has achieved top quartile results over three, five and seven years for the majority of members*.
  • Lower fees. Most members will enjoy a fee reduction of around 25% off standard fees, making it one of the most competitive super offers in Australia. This includes the removal of the annual dollar-based administration fee and reduced percentage-based administration and investment fees and no buy-sell spreads.
  • More investment choice. Members will have access to an expanded choice menu for those who want to take control, backed by Mercer’s access to a diverse range of investments.
  • Broader member services. With Mercer, members will continue to have 24/7 digital access to their super account supported by online calculators and education tools. Australian-based teams will be available to answer their calls and provide limited advice over the phone if they do not have a financial adviser.  
  • Existing insurance arrangements will be retained, providing peace of mind that there is no disruption to their cover or costs.

 

Benefits for employers

  • Online dashboard. Mercer offers a dedicated dashboard, powered by their data analytics engine, to help employers stay on top of their super plan.
  • Policy Committee support. Mercer can provide secretarial support and their data analytics engine can aggregate data about employers’ super plans, to deliver real-time reports for Policy Committee Meetings.
  • Convenience of using QuickSuper. Mercer also uses QuickSuper, so employers can continue using a familiar system to process super contributions for employee members.
  • More corporate services. Employers will have access to Mercer’s tailored education programs, support services to help with onboarding and payroll, as well as global insights into career/talent trends and healthcare solutions. Employers will also have access to the broad range of business services provided by Mercer and its related entities to help support employers and their employee members. 
  • Committed to financial advice. Mercer supports financial advisers and will let employers know how they can add their financial adviser to their super plan with Mercer Super Trust.

* SuperRatings Fund Crediting Rate Survey – Default Options as at March 2022. Includes Mercer SmartPath My Super Born 1969-73 and younger cohorts (which comprise 76% of Mercer Super Trust default members). 

 

When is the merger happening?

The merger remains subject to certain conditions and regulatory approvals.

BT Super and Mercer Super are working together to plan the transition for members in the first half of 2023.

We will keep members updated on our progress throughout the year via regular communications, this dedicated webpage and member information sessions. We will send members all the final details of the transfer in early 2023.

FAQs for employers

  • What will you communicate to my employees about this?

    If your employee has a BT Super account, then they will receive an email from us about this announcement.

    Our communication to members advises that we have entered into an agreement with Mercer Super, and we are waiting for regulatory approval. If approved, then their super account will transfer into a new Mercer Super Trust account. We’ll send them a formal Significant Event Notice in early 2023, with details on how the transfer will impact their super account.

    We’re also supporting members with information online at bt.com.au/supermerger.
  • What support materials will you provide me, so I can support my employees through this change?

    We have more information and copies of the communications being sent to your employee members available on this webpage soon.

    You can also refer your employees who are BT Super members to our dedicated webpage for them at bt.com.au/supermerger.

    If you have one, your Relationship Manager will be in touch with additional resources to support you and your employees.
  • Will my employer plan’s discounts and design be retained under Mercer Super?

    Yes – the terms agreed with Mercer Super include retaining (and in some cases improving) our employer plans’ administration fee discounts.   

    Your insurance arrangements (such as insurance cover and costs) through BT will remain the same and continue in Mercer Super Trust, until the end of the current rate guarantee period (which is 30 June 2023).
  • Do I still use QuickSuper? Or do I need to change payroll providers?

    Yes - you can continue using QuickSuper with Mercer Super Trust.

    You can continue using a familiar system to process super contributions for employee members.

    There may be some updates required, such as the new SPIN and account numbers for Mercer Super Trust. We will send you all the details of the transfer in early 2023.
  • Will you tell my employer plan’s financial adviser?

    Yes – we will communicate with your financial adviser and advise them of this announcement, so they can support your employee members.
  • If BT fails the annual performance assessment (APA) this year, can it continue to be my default fund?

    APRA advised they will announce the 2022 APA results for BT’s MySuper Lifestage investment options and MySuper Choice investment options on or before 31 August 2022.

    In line with the government’s recent law, the Your Future Your Super Act 2021, super funds that fail the APA in two consecutive years are prohibited from accepting new members until they pass the APA.

    So if our MySuper Lifestage investment option fails the APA again in the 2022 assessment, then we can remain your default fund but we will be unable to accept new members into it.

    If this occurs, we will reach out to you on what you can do for new members while we remain your default fund.     
  • Will my employee super plan pass the next APA with Mercer?

    Mercer Super Trust super fund’s default investment option passed the last APA in 2021.

    Mercer’s default investment strategy has also achieved top quartile results over three, five and seven years for the majority of members as at March 2022*.

    The merger is planned for 2023, creating a $65 billion superannuation fund with the scale and potential to deliver stronger performance, lower fees, more investment choice, and broader member services.

    So, the first APA for the merged fund will be in 2023.

    If you want to compare our MySuper product to other similar MySuper products, you can use the government’s YourSuper comparison tool at ato.gov.au/yoursuper.
  • Why will this merger not be completed until next year?

    The merger remains subject to certain conditions including regulatory approvals.

    We are working with Mercer Super to plan and transition the arrangements for each of the 500,000 plus member accounts over the coming months.  
  • Why can these benefits (eg lower fees) not be offered earlier?

    These potential benefits come from being part of a much larger fund. And this larger fund will only be created after BT Super members are transferred into Mercer Super Trust in 2023.
  • Following the Asgard migration last year, some accounts moved to become Asgard Superannuation Accounts.  Are these accounts moving to Mercer? 

    No – only BT Super, BT Super for Life and BT Super for Life – Westpac Group Plan accounts are part of this merger announcement for BT’s personal and corporate super funds.

    Asgard Superannuation Accounts are part of BT’s other business – its Platforms business and are not part of this announcement. 

 

* SuperRatings Fund Crediting Rate Survey – Default Options as at March 2022. Includes Mercer SmartPath My Super Born 1969-73 and younger cohorts (which comprise 76% of MST default members). 

 

Resources to support you and your employees who are included in this merger

Copies of member communications

  • We’ve also built a dedicated member webpage to help keep members informed about the merger at bt.com.au/supermerger.
  • Here is a copy of the email we sent to inform your employees who are BT Super members. 

Keeping your adviser informed

  • If you have a financial adviser registered to your employer plan, we will also email them information so they can support your employees.

 

IMPORTANT INFORMATION

* SuperRatings Fund Crediting Rate Survey – Default Options as at March 2022. Includes Mercer SmartPath My Super Born 1969-73 and younger cohorts (which comprise 76% of MST default members).

This information is current as at 3 August 2022. The information is prepared by BT Funds Management Limited ABN 63 002 916458, AFSL 233724, RSE No. L0001090 (BTFM) who is the issuer of BT Super, BT Super for Life and BT Super for Life – Westpac Group Plan, which are part of Retirement Wrap ABN 39 827 542 991. BTFM is a subsidiary of Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian Credit Licence 233714 (Westpac).

The information provided 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.

A Product Disclosure Statement (PDS) (including the Guides) is available for BT Super and can be obtained by calling 132 135 or visiting bt.com.au/btsuper. A Product Disclosure Statement (PDS) and Financial Services Guide (FSG) for BT Super for Life can be obtained by visiting bt.com.au/superforlife or calling 132 135. A PDS or FSG for BT Super for Life – Westpac Group Plan can be obtained by calling 1300 776 417 or signing into your account online.

You should consider the PDS before deciding to acquire, continue to hold or dispose of interests in BT Super, BT Super for Life and/or BT Super for Life – Westpac Group Plan. AIA Australia Limited ABN 79 004 837 861, AFSL No. 230043 is the issuer of insurance cover offered through BT Super for Life and BT Super for Life - Westpac Group Plan.

An investment in BT Super, BT Super for Life and/or BT Super for Life - Westpac Group Plan is not an investment in, deposit with any other liability of Westpac Banking Corporation ABN 33 007 457 141 or any other company in the Westpac Group. It is subject to investment risk, including possible delays in repayment of withdrawal proceeds 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 BT Super, BT Super for Life and/or BT Super for Life - Westpac Group Plan.