What are Your Options for Meeting SuperStream.
SuperStream is a compulsory system of submitting Superannuation Payment information (standardised data) electronically. The information links the payment made by the employer to the employees account in the relevant superfund/s.
It is the intention that SuperStream will make the whole superannuation system and employer meeting their obligations efficient, faster, more reliable and with less cost.
Every business is different, so there’s no ‘one size fits all’ approach to adopting SuperStream.
Employers have various options; using software that confirms to SuperStream, or using a service provider that can meet SuperStream obligations on your behalf.
Your Options may include:
• Upgrading your payroll software to an option that includes a clearing house service,
• Using an outsourced payroll function or other service provider,
• Using a commercial clearing house,
• Using the free ATO Small Business Superannuation Clearing House (for employers whose business has a turnover of less than $2 million or less than 20 employees), or
• Your default fund may also have its own electronic channel. This fund can provide you with details about how to comply with the SuperStream using their preferred facilities.
Most employers will find it easiest to use a superannuation gateway which acts as a superannuation clearing house from within their payroll software to process SuperStream payments and send the required information.
Important Information for Employers:
• SuperStream is mandatory for all employers who make superannuation guarantee payments or any other superannuation contributions for employees.
• Employers must provide the minimum data to the super fund or clearing house electronically.
• Ensure payments and data are linked by a unique payment reference number.
• Ensure data and payments are sent on the same day.
• Super funds are required to process contributions into the members account within 3 days.
• Superannuation funds are obliged to contact employers within 5 days if data is missing or invalid.
• Employers must respond to any requests from a super fund for missing information or queries relating to employee payments within 10 days.
• Funds will have to refund contributions within 20 working days if they cannot be allocated to an employee.
• It remains your responsibility as the employer to confirm that super contributions have been received, even if you use a clearing house or other service.
• The Superannuation Guarantee (Administration) Act 1992 requires you to provide a Standard Choice Form to your employees. This form will allow you to collect the required SuperStream related information from employees.
Additional Information Required:
Because the data is required to be submitted electronically, there are new fields of information that must be provided by you the employer to the superannuation fund or clearing house.
• Unique superannuation identifier (USI) which identifies the fund
• ABN and bank details for Self-Managed Super Funds
• Electronic service address
Self Managed Superfunds:
When you have are paying into a Self Managed Superfunds the following is required
• For all Employees – The SMSF must provide ABN, Bank Details and an Electronic Service Address (ESA), the choice of service is found on the following link: ATO SMSF Service Providers
• Related employees – eg a director, of paying into a related persons SMSF then SuperStream does NOT require the use of an Electronic Service Address. Ensure however the contributions are paid electronically. ATO example of related parties: Married couple run their own business and pays into their SMSF in the couple’s names.
SuperStream is compulsory for all employers from 1 July 2016