THERE will be no exemptions to this system except in extreme cases e.g., No Internet service.
The ATO are moving for all employer superannuation payments that are to be made electronically, compulsory. Employers with 20 or more employees were required to be registered by October 31, 2015.
For Small business Employers with 19 or fewer employees need to be registered by June 30, 2016. From July 1, 2016:
- All employer payments of super for employees will need to be made electronically in a prescribed format, with linked data and payments.
- The payment and message MUST be sent on the same day. You will no longer be able to post a cheque to the super fund.
- The employee will need to provide (if not already held) their:
Tax File number;
Super fund ABN;
The Super Fund Unique Superannuation Identifier (USI).
What is the USI?
This stands for "Unique Superannuation Identifier" and it identifies the specific super product for an employee contribution. It ensures contributions get to the right destination. All super funds must have at least one USI. Most super funds have one USI for all of their products. It's publicly available information – the USI and other identifying information for the fund (like the ABN) are generally available on funds' websites.
Some funds have more than one USI, so it's important that your employee tells you which product they're in. If the employee has a self managed super fund, they will need to provide the employer with:
- Tax File number
- Super fund ABN
- Super Fund Electronic Service Address
Schuh Group's Natasha Scott can help you get an Electronic Service Address for your SMSF. Phone 5482 2855.