More than $3.4 billion in superannuation has been lost by Australians, with the amount held in unclaimed accounts growing by more than $1 billion a year.
An Australian Tax Office (ATO) survey found 2.6 million unclaimed superannuation accounts, with an average of $2,300 in each, although many contain more than $10,000.
The alarming growth in unclaimed superannuation has prompted the ATO to launch a pilot program aimed at reuniting workers with their lost super. Three superannuation funds are being given access to the ATO’s register of lost super funds to match new members with the lost accounts.
So far the pilot appears to have been a success, with 38 per cent of new members matched with lost accounts.
But David Diment, ATO assistant commissioner, superannuation, says it is up to employees to keep track of their own super.
“It’s about people taking responsibility for their super and their retirement income,” he says.
“It’s about people saying this is my money, my retirement income, and asking their employer about whether they are being paid super and where is it going to.”
The lost accounts are believed to be mainly held by casual workers collecting small amounts of super in industry funds, and then changing jobs. However, in at least one case the ATO found one taxpayer who was deliberately hiding their identity.
The ATO attributes the blowout in unclaimed super over the past year to the growth in superannuation, and its campaign to ensure compliance by employers.
A recent survey found 99 per cent of employers were meeting their obligations, though certain industries with a high level of casual workers, such as tourism and hairdressing, had higher non-compliance rates.
