ATO is about to transfer any inactive super balances commencing 1 November 2019. If you have lost superannuation floating around from previous jobs that you’ve perhaps forgotten about or simply haven’t had the time to transfer, the Australian Taxation Office is about to do the work for you.
ATO will reconcile inactive super balances with their owners, as part of the recent ‘Protecting Your Super’ superannuation laws.
What is an inactive super account?
ATO defines an inactive super account as:
- A super account that has not received a contribution in the last 16 months;
- has no insurance on the account;
- has an account balance of less than $6,000 (at 30 June 2019);
- is not a defined benefit account;
- nor an SMSF or small APRA fund;
- and you do not meet a prescribed condition of release.
What are the transfer requirements?
ATO will automatically transfer inactive super account balances of $200 or more, into an active super account.
Where the inactive super balance is less than $200, ATO will automatically transfer this amount to your bank account.
If you are over 65 years of age, ATO will transfer the inactive super balance to your bank account, regardless of the amount.
What do I need to do?
Nothing, ATO will automatically perform the transfers.
It’s worth noting that if you have a ‘myGov’ account and have logged into the ATO portal recently, any inactive super amounts you have, would be listed there. Super funds have until 31 October 2019 to pay these amounts out and the ATO will then match them to their owners commencing 1 Nov 2019.
ATO anticipates most of these transfers to be completed by the end of November.
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Disclaimer: This post has been prepared for general information purposes only. It is not specific advice to any particular person. You should consult an authorised Align Financial adviser before making financial decisions. Align Financial | Financial Planner Northern Beaches | Servicing North Narrabeen, Narrabeen, Mona Vale, Elanora Heights, Newport, Avalon, Palm Beach | Enquire with us online