SuperStream Data and Payment Standards are part of the Government’s Stronger Super initiative and introduces a streamlined method for employers to send superannuation payments and associated information electronically to superannuation funds.
Medium to large employers (people employing more than 20 people) are required to commence paying employee super using these standards, from 30 June. A recent Tax Office announcement gives employers making a genuine attempt to be SuperStream compliant until 31 October 2015 to resolve issues associated with implementation of SuperStream systems and procedures.
Employees with these companies and who are members of a self-managed superannuation funds (SMSFs) are subject to the same deadline. Small employers (people employing less than 20 people) will be required to implement these standards by 30 June 2016.
Employees should be requested to provide their details to you at least 30 days prior to when you will start sending contributions using SuperStream (unless already requested from your employee's Superfunds). The SMSF’s name, ABN, bank account details, and electronic service address (ESA) is the information that is required to make SuperStream run efficiently. APRA regulated funds will also need to provide you with a product name and unique superannuation identifier (USI), e-commerce profile and website details.
An ESA is not an email address; this is a common misconception with employees. If your employee has a SMSF that doesn't have an ESA, the Tax Office has published a list of ESA providers, which are available here.
This will allow enough time for you to manage the changes and ensure the SMSFs have met their obligations, creating a continuous flow.
It is recommended to advise your employees that if they leave getting their details to you too late, there is a strong possibility that their contributions will go to a fund that they hadn't nominated.
You can also check the SuperStream Certified Product Register which enables you to identify the readiness of your payroll software and other service providers that meet SuperStream requirements.
If you would like any more information on SuperStream or electronic services addresses please contact us today!