There’s a change coming soon that means to comply with ‘choice of fund’ rules you might need to do something extra when a new employee starts to work for you.
Currently, if a new employee doesn’t choose their own super fund, you can pay super contributions for them to your default fund.
From 1 November, if you have new employees start and they don’t choose a specific super fund, you may need to request their ‘stapled super fund’ details from the ATO.
A stapled super fund is an existing account which is linked, or ‘stapled’ to an individual employee, so it follows them as they change jobs. This change aims to reduce the number of additional super accounts opened each time they start a new job.
You’ll be able to request stapled super fund details for new employees using Online services for business.
To get ready for this change, you can check and update the access levels of your business’ authorised representatives in Online services. This will mean you’re ready to request stapled super funds if needed. It will also protect your employees’ personal information.
If you need more information on the recent superannuation changes, call us on Phone 02 9548 3703.
Source: ATO September 2021
Reproduced with the permission of the Australian Tax Office. This article was originally published on https://www.ato.gov.au/Newsroom/smallbusiness/Employers/Extra-super-step-when-hiring-new-employees/.
Important:
This provides general information and hasn’t taken your circumstances into account. It’s important to consider your particular circumstances before deciding what’s right for you. Although the information is from sources considered reliable, we do not guarantee that it is accurate or complete. You should not rely upon it and should seek qualified advice before making any investment decision. Except where liability under any statute cannot be excluded, we do not accept any liability (whether under contract, tort or otherwise) for any resulting loss or damage of the reader or any other person.
Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author. Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.
