when did choice of fund become effective?

As of the 1 July 2005, the Australian Federal Government introduced new legislation, known as Choice of Super Fund. The legislation applies to the compulsory contributions (currently 9% of your wages/salary) your employer makes for you.

what is choice of fund?

Basically, all employees, with exception of those that fall under an Award, AWA, EBA or a defined benefit fund, may select the super fund they would like their employer contributions remitted to.

am I eligible for choice of fund?

Choice of Super Fund mainly applies to employees covered by Federal Awards as well as those staff not covered by an Award or Registered Agreement. If you don't know which award you are covered by, you should check with your employer/s. If you are eligible, your employer/s is required by law as of 1 July 2005, to offer you a choice of super fund.

what if I don't make a choice?

You don't have to choose a super fund. If you are an existing employee as at 1 July 2005 and don't choose a fund, Randstad (Randstad' parent company) will continue paying into your existing fund. The default fund will be nominated on the Standard Choice Form, supplied to you.

who is Randstad's default fund?

For Super Choice purposes, Randstad consists of Randstad, Rock Resourcing, Select Appointments, Select Teleresources, Select Accountancy, Select Industrial, TPA, Jarrah Consulting and Tanner Menzies.

default fund for Randstad: Recruitment Super

Recruitment Super is a recruitment industry fund owned by its members. It is a complying fund that offers insurances for those interested. Recruitment Super is also a Public Offer Fund that accepts contributions from any employers or employees.

default fund for all South Australia employees: Statewide Super

Statewide Super is a complying fund. All superannuation contributions will be sent to Statewide Super unless an employee is paid under an Award, EBA, and AWA that stipulates otherwise. Super Choice is not offered in the state of South Australia. Please note: The distribution of all employer superannuation contributions (made on behalf of its employees), irrelevant of superannuation fund, is done via a central clearing house, managed by Recruitment Super.

what is the standard choice form?

If you are eligible for Choice of Super Fund, your employer is required to provide you with a Standard Choice Form by 28 July 2005. Your employer is also required to give you a Standard Choice Form within 28 days of commencing a new job or within 28 days from the date you request one. This form contains information about your employer's default fund, and has a section for you to nominate your chosen super fund. This form must be completed and returned, if you would like to nominate your own super fund. Changes will not be accepted without a correct and fully completed form.  

in addition to my completed standard user choice form what other information must employees provide their employer?

When choosing a fund, you must provide the following to your employer:

• the full name and contact details of the fund
• the account name in the fund
• the number or other unique identifier (if any) that the fund uses to refer to your account
• the Australian Business Number and Superannuation identifier or number
• a method that can be used to make contributions to the fund and any necessary details to enable the payment be made
• a written statement, provided by or on behalf of the trustee of the fund stating that the fund is a complying fund
• how often can I change my super fund?
• an employee can have only one chosen fund per employer. A chosen fund is then applicable for 12 months. An employer does not have to accept an employee's request to choose a new fund if they have already accepted such a request within the past 12 months.
• what happens to any superannuation I have in existing funds?
• any money you have in existing funds will remain there unless you make arrangements to transfer it (rollover) to another fund. Check the impact of any exit fees or benefits you may lose before leaving the fund. Your employer cannot do this for you.

need more information?

You can also contact the Australian Tax Office (ATO) on 13 28 64, or contact their dedicated website www.superchoice.gov.au for more information about Choice of Fund. Alternatively, temporary employees may contact the Randstad's Customer Service Hotline on 1300 363 377, or email customerservice@Randstad.com.au.