From 1 November, employers will need to comply with ‘super stapling’ requirements for new employees.
‘Super stapling’ is part of a package of reforms to the super system. It aims to address the issue of lost super for those that end up with many super funds.
Under the new arrangements, employees will have their chosen super fund ‘stapled’ or linked to them, so that it follows them as they change jobs. This means that when an employee joins an organisation, and doesn’t choose a super fund, employers must pay contributions into the ‘stapled fund’.
There is a process, via the ATO, for employers to find details of stapled super funds for their employees. More information is available from the ATO.