So, you’ve bagged a new job. Congratulations!
Hopefully, it will be a smooth transition for you.
Here’s the good news: taking care of your super when you change jobs isn’t particularly difficult.
Let’s break down the details.
What happens to my super when I leave a job?
Generally, your super will stay in its current account/s, and any new employer contributions will also be paid into your existing account, unless you choose differently.
There are two ways this happens.
1: Get your new boss to pay super into your current fund.
When you’re filling out the paperwork for your new job, pay attention to the section about super accounts. Sharing your super details with your employer is the most straightforward way to make sure it gets paid to your account.
Not sure where your current super is? Here’s how to find and check your super.
Super funds generally want you to stay with them, so they try to make it as easy as possible to do so. Just jump onto the website of your current super fund (or get them on the phone) and ask what you need to give your new employer.
Sometimes they even have a template letter (which they may adjust to include your details) that you can just give your new boss.
If you’re a Spaceship Super customer, you can share your details with your new employer right from the Spaceship app.
2: Wait for your boss to find your existing, stapled account
Thanks to new legislation that came out in 2021, you’re ‘stapled’ to your existing super fund so it should follow you to your new job assuming your new boss sets you up correctly.
If you have more than one super fund, the ATO selects the account they deem to win a ‘tiebreaker’ and gives these details to your new employer.
Theoretically, this means you shouldn’t have to do anything for your super to end up in the right place, but we still think it’s a good idea to be proactive.
What if you have more than one account, or want to change funds?
If you decide to go with a different super fund, or you have more than one super account, you might want to combine it all into one account.
This is called super consolidation.
Consolidating your super means getting super from your other account (or accounts) and transferring everything into one super fund.
If you’re considering consolidating your super, there are a few things you’ll want to keep in mind.
- Super consolidation may reduce your overall fees. This is because, generally, you need to pay fees for each super account you have – so if you have more than one account, you’ll be paying more than one set of fees.
- It’s usually easier for you to track, check, and manage one super account, long-term, than several. Managing your super can include admin such as submitting extra contributions, using the First Home Super Saver, and adding and changing member beneficiaries. So if you’re doing that for more than one account, it can get confusing.
- Different super funds have different benefits – and you’ll need to make sure you’re comfortable with any impacts of switching, which may include having different levels of insurance, or digital access.
- Not all super funds will allow you to roll over your balance. Some industries have specific funds they require you to use.
As always, we recommend considering your specific circumstances when weighing up these factors. Consider getting advice from a registered tax professional, such as an accountant or financial planner, to help you become extra sure.
I think I’ve lost some of my super...what can I do?
You’re not alone on this one. Luckily, the myGov website has a lost and unclaimed super register, which you can check for super fund/s you might have forgotten about.
All you need to run a search is your Tax File Number. If you know your super fund member or account number, you might even be able to consolidate it all there too.
