What is the legislation and why was it introduced? In 2019, the government introduced new legislation to reduce multiple superannuation accounts many Australians have. Having multiple accounts means paying multiple fees and charges which can erode retirement savings especially with low balance accounts. The new legislation proactively brings together old low balance superannuation accounts with the current one. If you haven’t added money to your First Super account for 16 months and it has less than $6,000 in it, by law, First Super must send your superannuation account to the Australian Taxation Office (ATO). However, you won’t be affected if any of the following actions have been taken within the 16-month period: • made a contribution • changed your investment option • updated your insurance cover (e.g. increased cover amount) • completed and submitted a binding Nomination of Beneficiary Form and/or • completed and submitted an ATO Declaration Form.
How do I know if the ATO has my super and how do I get it back? ATO-held super refers to money in super which the ATO holds for you. There are several reasons why money may have been transferred over to the ATO including inactive low-balance super accounts. You can claim or consolidate ATO-held super once you’ve met certain conditions. Once approved you can transfer ATO-held super to a super fund of your choice. Sign into your myGov account to find if you have ATO-held super You can use ATO online services or ATO app to nominate a super fund you would like to transfer money to. Or contact the ATO over the phone if you don’t have access to their online services. Find out more about ATO-held super.
When will my account be transferred to the ATO? First Super is required to report and transfer inactive accounts to the ATO twice a year on 31 October and 30 April.
What happens if my First Super account is transferred to the ATO? If your First Super account is transferred to the ATO, you will lose your insurance inside super and miss out on future investment returns. These accounts won’t pay any fees on ATO-held amounts and will receive investment returns for interest paid based on the Consumer Prices Index (CPI). The ATO will proactively reunite unclaimed super money held for you into one of your active super accounts.
How can I check my First Super account? Register and login into our member portal, firstonline or call our Member services team on 1300 360 988. Firstonline is a safe and secure way for you to manage your First Super account online. With firstonline you can update your personal details, check your account balance, view your investment options, nominate beneficiaries and change your insurance cover.