Extra super step when hiring new employees from 1 November 2021

There’s a change coming soon that means to comply with ‘choice of fund’ rules you might need to do something extra when a new employee starts to work for you.

Currently, if a new employee doesn’t choose their own super fund, you can pay super contributions for them to your default fund.

From 1 November, if you have new employees start and they don’t choose a specific super fund, you may need to request their ‘stapled super fund’ details from the ATO.

A stapled super fund is an existing account which is linked, or ‘stapled’ to an individual employee, so it follows them as they change jobs. This change aims to reduce the number of additional super accounts opened each time they start a new job.

You’ll be able to access this information for employees using Online services for business.

To get ready for this change, you can check and update the access levels of your business’ authorised representatives in Online services. This will mean you’re ready to request stapled super funds if needed. It will also protect your employees’ personal information.

Don’t forget SSAS are here to help if you need it.

For tips and tricks throughout the year, please join us on Facebook, Instagram and LinkedIn.

SOURCE: ATO Small Business Newsroom