What does SuperStream mean for an Employee?
You may have heard the term ‘SuperStream’ being bandied about over the past 12 months. So what is SuperStream? Put simply, it is a reform introduced by the Federal Government to enhance the ‘back office’ of superannuation. It is designed to simplify and provide a consistent way for businesses to make super contributions, register new employee super accounts and provide the required data.
The Government’s intention is that SuperStream will reduce errors and the likelihood of employers not meeting their obligations in respect of their employee’s superannuation. This give employees some comfort that their employers are doing the right thing and provides better transparency from a reporting perspective.
Although all the SuperStream talk has been focussed on businesses, as an employee it is in your best interest to ensure that your employer can meet their superannuation obligations.
If you haven’t already, check that the superannuation fund details you have provided your employer are up to date. This includes ABN, USI/ESA (codes which identify your Super fund account) and bank account details that are all crucial to being able to make payment of superannuation contributions.
Where you have multiple funds including salary sacrifice super or spousal contribution, it is important to review the details of those funds also.
If you are a relatively new employee, you should ensure that you have returned your completed Superannuation Choice Form as soon as possible to ensure that your employer can start paying the contributions.
If you have a self-managed superannuation fund (SMSF) for receiving your superannuation contributions, you need to have done the following:
- Registered with a third-party for an Electronic Service Address (ESA); and
- Provide your employer with the ESA, ABN and bank account details of the SMSF;
The ATO publishes a list of the ESA/messaging providers that you can register with to ensure that you are SuperStream compliant – Click Here
Written by: Angela Lehmann