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Re: An employee has a self managed super fund

Newbie

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An employee has a self managed super fund which i entered into our system. We pay super to a clearing house but for some reason last month it defaulted to our preferred super fund and opened an account for the employee. The employee is now requesting that i close the new account and get the money rolled over to her nominated account. I understand the inconvenience caused to the employee but am i actually able to carry out her request or does she need to roll it over herself?

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Devotee

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Hi Carpay

 

She needs to action the rollover herself. It's her account, her money.

 

Rolling over to an SMSF from an APRA regulated fund is unfortunately not as straightforward as rolling money over between APRA regulated funds. But possibly the fund won't require as much documentation as usual given there's only been one payment made to the account.

 

I'm an ATO employee voluntarily providing my time here

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Most helpful response

Devotee

Replies 0

Hi Carpay

 

She needs to action the rollover herself. It's her account, her money.

 

Rolling over to an SMSF from an APRA regulated fund is unfortunately not as straightforward as rolling money over between APRA regulated funds. But possibly the fund won't require as much documentation as usual given there's only been one payment made to the account.

 

I'm an ATO employee voluntarily providing my time here

Devotee

Replies 0

@Carpay 

I would like to add further to what @SebReiter already said. (The employee neds to do the rollover via ESA, now a days APRA funds also will request an ESA for any Roll Over)

This information will help you in the future too, every time you hire an employee who nominates their SMSF for SGC.

 

All the SMSF trsutess required ESA (Electronic Service Address) to receive contributions, if the employee doesnt provide this to you the clearing house will continue to send the contrinutions to the Default fund.

The ESA notice needs to be provided by the employee from their SMSF trustee which provides ESA address for employers to transfer the funds via super clearing house, please request it & then go to your super clearing house portal & enter the details from the ESA Notice, so clearning house will send all the contirbutions to SMSF in the future.

 

Hope this helps.