With the end of the 12 month period for businesses with 20+ employees to start using SuperStream just around the corner in July, is your organization ready for the change?
We created this post to go over the basics of SuperStream and how you can get ready for the change. (Employers with less than 20 employees have until July 1, 2016 to start officially using SuperStream.)
What is SuperStream?
Supersteam is a new data and payment standard to simplify the procedure for processing superannuation payments. The ATO states that the goal of SuperStream is “to improve the efficiency of the superannuation system, to improve the timeliness of processing of rollovers and contributions, and reduce the number of lost accounts and unclaimed monies.”
With SuperStream, employers will now have:
- Streamlined super contribution process
- A simpler, more consistent way of making contributions
- Electronic data and payments in a common format for all funds
- Lower overall processing costs
- A simple single channel for sending contributions
How will Super Stream benefit me?
The ATO lists the following potential benefits for employers which include:
- The opportunity to use a single channel when dealing with super funds, regardless of how many funds your employees contribute to
- Less time spent dealing with employee data issues and fund queries
- Greater automation and reduced cost of processing contributions and payments
- More timely flow of information and money in meeting your superannuation obligations
How will SuperStream affect me?
Whether you’re a small or large organization, the following changes will apply to your organization:
- All superannuation contributions must be made electronically
- Employers are required to collect a standard set of information for super funds which means you may be required to collect new kinds of information. You can view the new information required in the table below
To see descriptions of all the required contribution data for SuperStream, click here
What do I need to do to get ready for SuperStream?
You may have to upgrade or change your payroll system so it conforms to SuperStream or, use a service provider such as outsourced payroll bureau to can manage SuperStream compliance for you.
Want more information?
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