Nov 06, 2017  | Tags: Superannuation

Our Insights

With nearly $18 billion in unclaimed superannuation, there’s a good chance that some of it could be yours. 

Where Does Lost Super End Up? 

Around $14.1 billion in unclaimed super can still be linked back to about 6.3 million lost superfund accounts. These accounts are technically inactive since there haven’t had contributions made to them in five years or more.

Sometimes, these funds are considered unclaimed super because the people originally linked to the accounts can’t be reached.

The remaining $3.85 billion is being held by the ATO which collects lost accounts with balances less than $6,000. 

Superfund accounts are most likely to multiply and get forgotten when people change employers and open new funds. They don’t realise that keeping their old superfund active while not actively contributing to it makes it likely they will forget about it. 

Neglected funds can’t grow. If anything, just leaving an old account means you’ll likely lose money in what you pay out for the insurance and fees required to maintain multiple funds.

Name and address changes are other ways that superfunds get lost in translation.

If you have more than $2,000 in an inactive superfund, the Association of Superannuation Funds of Australia (ASFA) recommends redirecting those funds to your current one. 

Next step: figure out if you have lost super and where it is. 

Track Down Lost Super 

As long as you have your tax file number (TFN) handy, you can log into or create a myGov account to track down lost super.

Alternatively, you can fill out and send in a form for the ATO itself to review. They will contact you directly with the results. 

Keep Track of Your Super!

It’s good to know exactly how much you have saved up for retirement. This will help you better plan the rate at which you should be saving right now. It will also help you avoid losing super savings in the first place. 

Here, too, having a myGov account will come in handy.

Log into your account and link to the ATO to see what funds are in your name and where they’re at.

Keeping track of your superfund is essential to knowing your contribution caps and insurance options. Your financial adviser can not only help you get on top of your superfunds, but also recommend the best super strategy and ensure that you are covered with the right level of insurance - more often than not, the insurance that comes with your superfund is inadequate. 

Seek Advice

Get advice about superannuation with Calder Wealth Management. Contact us for a no obligations about your needs

- Ben Calder, Private Client Adviser