Important SMSF Changes

May 3, 2019

The Government’s “Protecting Your Super” package comes into effect on July 1st 2019, and is a comprehensive package of regulatory reforms designed to protect Australian’s superannuation savings from undue erosion by fees and insurance premiums. (https://treasury.gov.au/consultation/c2018-t286292)

There are 2 changes which may affect any industry or retail funds you have (not SMSF) and will require action from you:

  1. If your account has been inactive for 16 months, and you has a balance of less than $6,000, it will be transferred to the ATO. Whilst the ATO will keep your money safe for you, this could mean you lose important insurance cover that has been retained within that super fund
  2. If you haven’t received money into your super account for 16 months, you could lose your insurance cover
Action Required 
You may well receive correspondence or an email from your super fund in relation to this. Please take time to read this and follow the action steps immediately to ensure you do not lose any insurance cover. Contact your super fund directly either by phone or by logging in online. They all have simple steps you can take to Opt In and ensure that any super accounts will not be affected and your insurance cover will be retained.  

It is important that you take action to contact all your retail or industry funds that may be affected. Whilst Future Assist often has authority to contact superfunds on your behalf, we do not have authority to act or make changes to those accounts on your behalf, so we will be unable to assist you with this.

However, if you do have any questions about these changes, please do not hesitate to contact the Client Services Team on 1300 226 803, or email clients@futureassist.com.au