Automatic consolidation of low-balance accounts

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 From January 2014, the ATO will help super funds to auto-consolidate accounts with low balances by providing details of these accounts to members’ active funds. The information will be provided annually and will include details of:

  • lost accounts
  • accounts that have not received a contribution or rollover for two years with balances under $1,000
  • accounts in eligible rollover funds.

Funds will be responsible for arranging consolidation unless the member opts out.

Subject to a review by the Treasury, ATO and the Australian Prudential Regulation Authority (APRA), the threshold for auto-consolidation of lost and inactive accounts will be increased to at least $10,000 in the latter half of 2014.

These proposed changes are not law as they have not been passed by Parliament.

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