ANZ Smart Choice Super Investor Update : Member Update Autumn 2015
On 12 May 2015, the Abbott Government delivered its second Federal Budget. While there were no substantial changes to superannuation this year, as promised, there are two measures that do have a direct impact to super members. These are: A package of amendments to streamline lost member and unclaimed superannuation rules; and An extension of the rules which allow for an early release of super benefits for fund members suffering a terminal medical condition The announcements are proposals unless stated otherwise. These proposals need to successfully pass through Parliament before becoming law and may be subject to change during this process. Lost and unclaimed super 1 July 2016 Administrative arrangements for lost and unclaimed super will be streamlined and redundant reporting obligations will be removed to make it easier for individuals. Possible implication to consider Individuals will hopefully find it easier to access lost or unclaimed superannuation benefits. Terminal medical condition period extended 1 July 2015 Under current rules, a person with a terminal medical condition must obtain certification from medical specialists stating they are likely to die within 12 months to access their super balance. It is proposed that the timeframe be extended to 24 months. Possible implications to consider If an individual failed to obtain the required medical certification due to the restrictions of the 12 month rule, consider obtaining new medical certification. Whilst the proposed change will allow earlier access to an individual’s super it may not provide earlier access to any terminal illness insurance benefits as part of their super. If you have insurance within your super, it is important to understand the terms and conditions. Consider maintaining some money in your super account to keep the account open and to pay insurance premiums. Withdrawing your full balance could result in the loss of valuable insurance cover. 2015-16 Federal Budget 10 The Government has delivered the 2015-16 Federal Budget with no major changes to superannuation.
Member Update Summer 2015
Member Update Winter 2015