New stapled super funds rule

Currently, if your business takes on an employee and they don’t choose a super fund, you can pay their super guarantee contributions into your business’s chosen default fund.

That changes on 1 November 2021.

From that date, if a new employee doesn’t choose a fund, you’ll have to contact the Australian Taxation Office (ATO) to confirm whether the employee has an existing super fund.

This ‘stapled super fund’ is linked (or ‘stapled’) to the employee, so it follows them when they change jobs.

Only if the ATO confirms the employee doesn’t already have a super account will you be able to pay their super into your business’s default fund.

As part of the federal government’s super reforms, the new rule is designed to prevent the unintended creation of multiple super accounts.

Multiple accounts result in unnecessary fees and insurance premiums, eroding members’ retirement savings.

How to request stapled super fund details

If your employee doesn’t choose a super fund, you’ll need to:

  1. Log into the ATO’s online services for business.
  2. Enter your employee’s details (you’ll need to have already submitted a Tax file number declaration or Single Touch Payroll pay event linking you to them).
  3. Within minutes, the result of your stapled super fund request will be shown on your screen.

For more information, visit the ATO’s ‘Request stapled super fund details for employees’ web page or call them on 13 10 20 (Mon–Fri, 8am to 6pm).

Get expert advice

Need help understanding or meeting your business’s superannuation guarantee obligations? Please do not hesitate to get in touch with us via your Banks Group representative, (03) 9810 0700 or super@banksgroup.com.au.

Talk to us…

    Banks Group is an association of independent firms that operate in Melbourne, Sydney and Auckland under the same trading name. Neither the Melbourne Banks Group, Sydney Banks Group or Auckland Banks Group are partners or agents of each other and shall not be liable for any act or omission of each other. Liability limited by a scheme approved under Professional Standards Legislation

    MAG_WEB

    All services are provided as a Corporate Authorised Representative of Magnitude Group Pty Ltd (ABN 54 086 266202, AFSL 221557).

    Count_WEB

    Financial Planning Services provided as an authorised representative of Count Financial Limited ABN 19 001 974 625 Australian Financial Services Licence Holder Number 227232 a wholly-owned, non-guaranteed subsidiary of Commonwealth Bank of Australia ABN 48 123 123 124. Count is a Professional Partner of the Financial Planning Association of Australia Limited. Count advisers are authorised representatives of Count. www.count.com.au

    "Please note that any taxation and accounting services are not endorsed nor the responsibility of Count Financial Limited".