Superannuation Changes: The What, Why & How

Updated November 9th 2021

Superannuation Changes: What you need to know

During the 2020-2021 Federal Budget, it was announced that a “Super Reform” would take place and from November 1, 2021, these measures will now be effective. The most important are:

YourSuper comparison tool

A new YourSuper comparison tool will be launched and available for individuals to help compare key data on MySuper products. This tool allows you to quickly and easily compare the different products available to help assist you in choosing a fund to suit your needs.

The tool will display a table of funds ranked by fees and net returns and will tell you which funds have failed the annual performance test. You will also be able to select and compare in detail up to four different MySuper products at a time.

A personalised version is also accessible through MyGov which will allow you to estimate the fees of the super products based on your actual superannuation balance versus the standard balance of $50,000. To access this tool, simply log into your MyGov account and from there, select the “Super” menu > information > YourSuper Comparison.

Stapled Funds for Super Guaranteed purposes

Prior to the reform, most employees are able to pick the super fund to which their employer must make their compulsory superannuation guarantee contributions to. Where the employee doesn’t make a choice, contributions are made to the employer’s default fund.

The purpose of this regime was to ensure that employers complied with the choice of fund requirements where employees do not choose a superannuation fund what they start a new job. This however, has inevitable caused many individuals to end up with multiple superannuation accounts when they fail to nominate their existing fund when they change jobs. As a result, this has caused a reduction in retirement savings for affected members due to unnecessary duplicate fees and insurance premiums being paid on those accounts.

As per the new legislation, any new employee who starts a new job on or after 1 November 2021, the employer must pay their super contributions to the employee’s “stapled fund” (main super fund) in cases where the employee does not nominate a chose super fund. Details of an employee’s “stapled fund” will be made available to the employer (and the employer’s tax agent if requested by the agent) via the Tax Office

The Government estimates that this change will result in $2.1M fewer unintended multiple super accounts over 10 years, a saving of approximately $2.8B in duplicate fees, insurance premiums and lost earnings.

More information can be found at