SUPERANNUATION

Three simple ways to keep your super details current

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Superannuation is such an easy investment. You open an account, let the boss know the details, and from there your balance grows through your working life. However, this simplicity means we often fail to stay in touch with our super.

Australians are renowned for low levels of engagement with their super. Just one in four of us check our balance regularly.

Just three simple steps can make a big difference to your super savings on retirement - and potentially, the financial wellbeing of the people who matter to you.

Three simple ways to keep your superannuation details current

1. Let your fund know if you move

Today's 30-somethings could accumulate more than $500,000 in super by retirement age.

If you had that sort of money in a bank account, you wouldn't forget it.

Yet when it comes to super, we often fail to let our fund know when we've changed address.

As a result, the system is awash with $16 billion worth of lost or unclaimed balances.

Solution: If you change address let your fund know. It's as easy as completing a 'Change of member details' form from your fund's website.

2. Tell your fund who you want to inherit your super

Super isn't automatically covered by your Will.

When you pass away, the fund trustee can decide who inherits your super - and it could go to an ex-spouse or partner, who may not be your preferred choice.

Solution: Organise a binding nomination that spells out who is to inherit your super.

Download a 'Binding nomination' form from your fund's website. Fill it in noting the percentage of your super you would like each beneficiary to inherit (make sure the total adds up to 100%).

Have the form witnessed by two adults not listed among the beneficiaries, and return it to your fund. You'll receive written confirmation in the mail.

Binding nominations only last three years, so they do need to be renewed. If you are certain who you'd like to inherit your super, a non-lapsing nomination is a more permanent option.

3. Aim to have just one super account

One in four of us have more than one super account, and along with paying multiple sets of fees, it can mean doubling up on insurance premiums, and make it harder to stay in touch with your super all the way to retirement.

Solution: Combining, or consolidating, multiple super balances into one fund streamlines your super, and it only costs a few minutes of your time.

Head to your MyGov account, link it to the ATO, and follow the prompts to manage and transfer your super. Or ask your preferred fund to fold multiple balances into a single account.

It's worth checking that you'll have the same level of personal insurance before closing any funds.

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A former Chartered Accountant, Nicola Field has been a regular contributor to Money for more than 25 years, and writes on personal finance issues for some of Australia's largest financial institutions. She is the author of Investing in Your Child's Future and Baby or Bust, and has collaborated with Paul Clitheroe on a variety of projects including radio scripts, newspaper columns, and several books.
Comments
helly ripphin
May 20, 2025 5.55pm

Please note that you have advised to use a NON LAPSING Binding Nomination. Most super funds do not even offer NON LAPSING. They require you to remember to renew it each 3 years. And if you get dementia, which a lot of people will get, you are not allowed to renew it. Imagine if you wrote your will and you had to renew it every 3 years. All your vulture relatives have to do is wait until you get dementia, keep you alive until your nominations lapse then claim all your money. How can super funds possibly be allowed to NOT offer Non-Lapsing nominations? Imagine if wills automatically 'lapsed'!!!

helly ripphin
May 20, 2025 6.01pm

Please also be careful when 'combining' your super into one account. Think very, very carefully and calculate how much Death Tax you will pay. Be sure to separate Deductible and Non Deductible contributions into SEPARATE accounts, so that you can draw down on on the ND first to reduce the amount of Death Tax which is 17%. As in, any drawdowns above minimum percentages. Then when you hit retirement, use a Withdraw and Recontribute Strategy to move as much as possible from the Taxable to the Non Taxable accounts. You may have to commute backwards, then reconvert to pension several times to do that. But 17% of a large balance is a lot of money the government will take from you. Note if you had the choice to marry in life, you get a huge thing that others don't : you can choose to leave it all to an Ex Spouse even if they are not even financially dependent on you. Compared to a person who did not have the choice to marry - they don't receive that massive Tax Break. (did someone say 'discrimination'?). Even if you leave all of it to charity, you will still be whacked with 17% Death Tax before it goes to the charity. The kicker is that if you donated it to the Charity whilst you are still breathing, you would get a Tax deduction. Go figure.