From 1 July the ability to transfer retirement savings between complying Australian superannuation schemes and KiwiSaver will become a reality. But before New Zealanders rush to apply to transfer their Australian Super they need to know some vital information , advises ASB’s Executive General Manger of Wealth and Insurance Blair Turnbull.
ASB KiwiSaver is on track to handle customers’ requests from 1 July after working on the project since December last year. However some Kiwis will be held up because they aren’t sure where their superannuation actually is in Australia.
“Australia has had compulsory retirement savings schemes for decades and their system is different to ours. If a person has worked in numerous jobs they could have their retirement savings in many different schemes so tracking down where their retirement savings are can take time.”
Mr Turnbull suggests there are some simple things people can do ahead of 1 July to solve the lost retirement savings mystery.
“Start by going through any old paper work and have a look and see what information is there. If that doesn’t shed some light, contact any previous Australian employers. Or alternatively, use the Australian Taxation Office website to check for any lost accounts, along with your Australian tax file number.”
“Once people have the name of their relevant Australian Super provider(s) and their tax file number they will be ready to file a request with their KiwiSaver Scheme.”
Mr Turnbull says ASB will not charge a fee to import Australian retirement savings into KiwiSaver because seeing members’ retirement savings grow is the goal. New Zealanders will need to be aware their Australian Super won’t appear in their KiwiSaver account overnight.
“Under the agreement with the Australian providers, they have 30 days to process transfer requests once they receive completed documentation and supporting evidence.”
“New Zealanders need to make sure they spend the time now to work out the information they need so they can start the transfer process sooner rather than later. As every day and every dollar counts when it comes to making your retirement savings work for you,” concludes Mr Turnbull.
For more information about transferring your superannuation between Australia and New Zealand click here.
Find out more about the ASB KiwiSaver Scheme here.