A key architect of the compulsory retirement savings system lauds its many achievements, stretching from the national economy to the individual. Where it’s double faulting is in serving members – and it needs to be addressed promptly.
With performance and diversification driving demand, these funds are expected to experience four-fold global growth over the next decade to nearly $AU65 trillion.
Most large funds to be on SuperStream before Christmas
(Pictured: Philip Hind)
Over 150 large APRA funds will be receiving contributions via the SuperStream standard by Christmas, according to the Australian Taxation Office.
Currently 100 funds are already receiving contributions through the new system with at least 50 more, including one trustee company for small APRA funds or SAFs, coming on by the end of the year.
“There are 280 funds that need to be on it in total,” Philip Hind, ATO’s national program manager, data standards and E-Commerce (SuperStream), said.
In total the 100 funds already on the system are receiving a total of 35,000 contributions per week.
“It’s still early days but those numbers have started to increase,” Hind said.
The 100 include most of the larger funds.
There has been some concern that SMSFs have been slow in understanding the new system and applying for electronic service addresses.
“The progress we have seen to date has been ok,” Hind said of SMSFs.
“Most people find it’s a very simple thing to do. It only takes about 10 minutes.”
By July next year all medium (20 or more employees) to large companies will need to be SuperStream compliant.
The ATO is calling for employers to start using the new system well before the deadline to ensure they are ready.
“For employers who pay quarterly, there are only two payment dates before 30 June 2015, so we strongly urge these employers to ensure they have a SuperStream solution in place as soon as possible,” he said in a statement.
