When you start a new job, you have to let your employer know where they should pay your super. If you don’t choose your super fund, your employer will find out which super fund manages your existing super and then pay into that account for you.
This is ‘super stapling’.
The idea of stapling is to stop people collecting new super accounts every time they start a new job.
How does it work?
If you don’t tell your new employer where to pay your super, they will approach the Australian Taxation Office (ATO) and ask them which of your super accounts they should use. If you have more than one super fund, the Australian Taxation Office will advise your new employer which one to pay into.
The ATO look at a range of factors to work out which of your existing super funds is most likely to be the one your new employer should use. The ATO look at whether they’ve previously identified any of your super accounts as your stapled fund, how recently contributions have been made to your super accounts, how recently the accounts were opened and the account balances to decide which one to tell your new employer.
If you have no current super account, your employer could choose to use their default fund and set up a new account for you with that fund.
What if you want to choose your own super?
But, if you want to make sure your new employer pays into the super fund of your choice, rather than the one the ATO nominates for you or the default fund your employer offers, you need to give them your super fund details yourself. You can do this using your myGov account or using the standard Choice of Fund form.
If you want your new employer to contribute to your ElectricSuper account, they can do this – even if they’re not in the electricity industry. It’s easy to give them your ElectricSuper details. Find the details you need to give your employer for them to pay into ElectricSuper here.
If you want to read more about super stapling, there is information on the ATO’s website.