Lost Superannuation Funds

What is unclaimed Superannuation? Unclaimed superannuation is a superannuation benefit, which has become unclaimed since 1 July 2007 and the following applies.

• Where the member:

• Has reached the eligibility age of 65 years
• No contributions have been received or defined benefit accrued for two years
• No contact has been made with the member for five years, despite reasonable efforts by the provider.

• Or, in the case of a non-member spouse:

• In cases of a payment split as a result of a determination under the Family Law Act 1975
• The non-member spouse (or their legal representative, if they are deceased) is entitled to be paid an amount.
• The superannuation provider, after reasonable efforts and time, is unable to ensure the benefit is received by the non-member or any other person entitled to receive it.

• Or, in the case of a deceased member;

• The superannuation provider determines that an immediate benefit (other than a pension or annuity) is required to be paid.
• No contributions have been received or defined benefits accrued for two years.
• The superannuation provider, after reasonable efforts and time, is unable to ensure the benefit is received by the person entitled to receive it.

• Lodging requirements
  At the end of each half-year, Public Sector Superannuation Funds holding unclaimed benefits are required to lodge the return by;

• 1 November for benefits held up to 30 June of the same year;
• 1 May for benefits held up to 31 December of the previous year.

Penalties for non-lodgement of unclaimed money.
The taxation administration Act 1996 imposes penalties including interest and penalty tax against an enterprise that fails to lodge an unclaimed money return on time.

Australian Taxation Office (ATO) does not hold all the unclaimed lost superannuation.

Superannuation is a fund that employers pay to employee’s as benefits. This is a certain percentage taken against an employee’s salary (9 %). The amount is deposited to an insurance account and money can be claimed by the employee when he or she has retired. Superannuation is a policy designed to give benefits or income options to retired workers who are increasingly getting old.

The reason why superannuation becomes lost is because nobody claims it. This is the most common reason for superannuation to go astray.