Extra super step when hiring new employees

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 request stapled super fund details for new 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.

If you need more information on the recent superannuation changes, call us on 03 8657 7640.

Source: ATO September 2021
Reproduced with the permission of the Australian Tax Office. This article was originally published on https://www.ato.gov.au/Newsroom/smallbusiness/Employers/Extra-super-step-when-hiring-new-employees/
.

Important:
This provides general information and hasn’t taken your circumstances into account.  It’s important to consider your particular circumstances before deciding what’s right for you. Although the information is from sources considered reliable, we do not guarantee that it is accurate or complete. You should not rely upon it and should seek qualified advice before making any investment decision. Except where liability under any statute cannot be excluded, we do not accept any liability (whether under contract, tort or otherwise) for any resulting loss or damage of the reader or any other person. 

Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author. Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.

The post Extra super step when hiring new employees appeared first on FPG Independent Social & Individual Website Feeds.

Recent stories

How To Build An Emergency Fund Fast

In an ever-unpredictable world, financial preparedness is more crucial than ever. Emergencies – be they medical crises, unexpected home repairs,…

Read more

Essential Strategies for Achieving Investment Success

Understanding and achieving investment success is a highly personal journey, as the definition of success varies from one individual to…

Read more

Home Equity: Unlocking the Power

Home equity is more than just a financial term; it’s a powerful resource that, when utilised wisely, can support your…

Read more

What To Do With An Inheritance

Receiving an inheritance can be a significant moment in anyone’s life, often accompanied by a mix of emotions due to…

Read more

UGC Monthly Market Update | March 2024

Welcome to the UGC’s Monthly Market Update for March 2024. Join UGC’s Co-Portfolio Manager / Senior Investment Analyst, Huw Davies,…

Read more