The Australian Taxation Office (ATO) is urging taxpayers to get their super together and protect themselves from multiple sets of fees as tax time begins.
“Tax time is the best time to check your super. Most people might not realise how easy it is, you just click on the super tab next to the tax tab while you are online to do your tax or check your return, and you could find super you have forgotten you have," deputy commissioner James O’Halloran said.
“Finding your lost super or consolidating any unwanted multiple accounts might not seem like it matters today, but it could make a massive difference to your retirement,” he continued, noting that there’s more than $18 billion in lost and unclaimed superannuation.
“Multiple accounts that you may not be aware of means multiple fees. It’s your money and you should make sure it’s working for you.”
The ATO’s online services have seen more than $10.7 billion in super consolidated from 3.1 million accounts over the last five years.
Mr O’Halloran said taxpayers younger than 75 should also remember they can claim a deduction for personal after-tax super contributions, arguing this provides flexibility for those who change jobs frequently, the self-employed, small business employees and others whose employers don’t offer salary sacrifice arrangements.
In order to receive the deduction, members need to lodge a notice of intent with their fund and receive the confirmation letter from them prior to lodging the tax return.
“Being able to claim a deduction for after-tax personal super contributions could benefit millions of Australians and is one of the most significant changes to the tax system this year,” Mr O’Halloran concluded.