Advice From Statewide Superannuation

The South Australian Business Chamber Today — Thursday 11 November, 2021

Most employers are required to provide their employees with a choice regarding which fund their superannuation contributions are paid to. Employees can nominate a super fund of their choice, including the employer’s default fund or a self-managed fund and provide this instruction to their employer on commencement.

With the introduction of superannuation fund stapling by the ATO, employers must meet their obligations to avoid penalties.
From 1 November 2021:

• If a new employee does not provide any instructions about the payment of their superannuation contributions, employers must request ​‘stapled fund’ details from the ATO to see if that new employee has an existing fund to pay contributions to.
• If a new employee has a stapled fund and does not nominate a fund of their choice, employers will need to make superannuation contributions to the employee’s stapled super fund, rather than the employer’s default fund. 
• If a new employee doesn’t have a stapled fund, and they don’t wish to nominate a fund to be stapled to, the employer can then pay superannuation contributions on behalf of the employee into the employer’s chosen default fund.

You can find more information on the ATO website or on the Statewide Superannuation website here.