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.
We break down the details.
What happens to my super when I leave a job?
Unless you do something about it, your super will probably stay in its current account/s. You can choose to leave it where it is, but you might want to consider your other options also.
Option 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. Why? Because if you don’t pay attention, you could find yourself with another super account with your new employer’s nominated super provider.
Don’t panic, though!
If you want your new employer to start paying super into your current fund, all you need to do is give them your account details.
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.
Note: The majority of employers are required to offer you the option of providing details of your current fund or defaulting to their nominated fund.
Option 2: Let your new boss open you a new account.
Another option is to complete the forms your new employer gives you and forget about it.
This might seem as though it’s the easiest option, but that doesn’t necessarily make it the best option.
You should take the time to look into your new employer’s nominated fund. Make sure you compare things such as fees, investment options, insurance, and whether they offer other benefits or advice.
If you’re happy with your existing fund, you might want to stay where you are.
Sometimes though, a company might give you access to a corporate plan with special benefits that are worth considering.
Should I consolidate my superannuation?
If you decide to go with your new employer’s nominated super fund, you might want to consolidate your super into that account. Consolidating your super means getting super from your other account (or accounts) and transferring everything into one super fund.
The pros include:
- It may reduce your overall fees.
- It is usually simpler to have one account.
- It might be easier for you to track, check and manage long-term.
The cons include:
- You may lose your previous insurance cover.
- You may lose access to any benefits you had with your previous fund.
Note: Not all super funds will allow you to roll over your balance. Some industries have specific funds they require you to use.
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.
