Australian Superannuation Transfers

Transcription

1 Australian Superannuation Transfers If you have worked in Australia at any time since 1992 and have moved back to New Zealand, now might be a good time to think about bringing your Australian superannuation back into your KiwiSaver account.

2 There are a number of reasons why bringing your superannuation back to New Zealand might be a good idea. Managing multiple superannuation accounts can be complex and take time. The complexity can also make it harder to track your progress and make informed decisions. Having multiple accounts may also mean that you are paying multiple sets of fees. This booklet answers common questions around Australian superannuation, including what funds can be transferred, the process involved and what happens when your Australian funds arrive in New Zealand. Do I have any Australian superannuation? I have superannuation in Australia, can it be transferred to my Summer KiwiSaver scheme account? Understanding your Australian superannuation product Why consider a transfer? Once your Australian funds arrive Retirement First home withdrawals What happens if my plans change and I move back to Australia? Moving overseas (to countries other than Australia) Take the next steps Please contact us by at info@summer.co.nz or call if you would like to learn more.

3 Do I have any Australian superannuation? If you were an employee, (not self employed) and have worked in Australia since 1992 then you are likely to have accumulated some superannuation funds. These would have been paid direct to your superannuation fund by your employer. The contribution rate your employer had to pay has been rising, from 3% of your income back in 1992, with a goal of being as high as 12% by 2026 this means you may have saved a significant sum! But it s possible that like many people, you ve lost touch with your money. You may be unclear about which superannuation provider you are with, which fund you are invested in or what fees are being paid. Or you may have lost track of your contributions completely. Summer can help you find your money. Make a start by contacting the Australian Taxation Office (ATO) and completing their searching for lost super form and posting it over to them, or alternatively dropping it into your nearest Forsyth Barr office so that we can post it on your behalf. You could also utilise the ATO s online services and create a MyGov profile. This will allow you to check online who you have your superannuation with, and if you have multiple Super accounts, you can even roll them over into one account using the ATO. I have superannuation in Australia, can it be transferred to my Summer KiwiSaver scheme account? If your funds are invested with an Australian Prudential Regulation Authority (APRA) certified provider, then you are likely to be able to bring your investment across to your Summer KiwiSaver scheme account. You can check whether your fund is APRA certified by going to the super fund look-up website. Self managed super funds (SMSF) are not covered by the trans-tasman portability arrangements and can t be moved to KiwiSaver. If you are unsure whether your Australian provider is willing to make a transfer, please let us know. We are happy to contact them on your behalf to confirm, and can organise to get the transfer paperwork for you. 3

4 Understanding your Australian superannuation product Though some of the Australian superannuation funds on offer may look similar to KiwiSaver, and exist for the same overall purpose, before making a decision to transfer it is important to understand the structure, fees and other benefits that exist within the fund(s) you are currently invested in. Some things to think about are: 1) What fees are charged? How much are they and what are they for? Have a look for management fees, performance fees, account fees, entry and exit fees, and see how much they are. 2) Are there additional benefits? Do these apply if you are not contributing to your fund? If they do, how much do these benefits cost you and are you covered while living in New Zealand? Are you already paying for similar insurance through policies you hold in New Zealand be they life, income protection or permanent disablement (for example). It is important to make an informed decision. Superannuation can be complex and before making a decision to transfer we recommend seeking confirmation from your Australian superannuation provider about the fees and benefits that are associated with your Australian superannuation account. Once you have made a decision, we can help you with the transfer. Why consider a transfer? There are a number of reasons to consider consolidating your superannuation investment in New Zealand. With all your retirement savings together, it is easier to track your progress towards your goal and make informed decisions around your investment. You may prefer the investment mix and focus of a New Zealand investment manager. Having it in New Zealand means that your New Zealand investment manager will be monitoring exposure to currency fluctuations between the New Zealand dollar and foreign currencies. If your Australian superannuation is spread across multiple providers, you may be paying multiple sets of fees. Australian superannuation schemes often come with attached insurance. This means that you could be paying unnecessary insurance premiums you might have similar cover in New Zealand, or you might be unable to access the benefits of the insurance because you are now living in New Zealand. What else you should think about. While the above covers some potential benefits of transferring, you also need to consider your own personal situation and what is best for you. For example, any funds you transfer from an Australian superannuation fund cannot subsequently be withdrawn for a first home purchase. There may also be an impact on when you can withdraw funds upon reaching preservation or retirement age. Likewise, if you emigrate to another country after transferring your Australian superannuation investment to your KiwiSaver account, you cannot then move it onto your next country of residence. Finally an important consideration is that the New Zealand and Australian tax regimes are different, we recommend that you obtain specialist tax advice to discuss what effect bringing your investment to New Zealand may have. 4

5 Once your Australian funds arrive If you do transfer your Australian superannuation to Summer, your Australian funds, once received and exchanged into New Zealand dollars, will be deposited into your Summer account. The funds will then be invested into the Summer Investment Selection or My Plan (according to your elected percentage) as previously selected by you. You will then be able to view your balance on your Summer Dashboard when you log in to your online account. If you would like to discuss your current asset allocation we provide you with access to a network of Forsyth Barr Authorised Financial Advisers who can provide you with guidance. Alternatively, you can contact the Summer team and we can connect you with a Forsyth Barr Authorised Financial Adviser in your region. Retirement If you transfer your Australian superannuation funds to a KiwiSaver scheme, you may be able to get the amount you transferred out at age 60 if you meet the Australian definition of retired. This is currently: Having ceased all employment after you reach the age of 60 Never intending on entering full time or part time employment again. If your Australian savings are already in New Zealand you can make a withdrawal using the Withdrawal of Australian Sourced Funds form. If your Superannuation funds are still located in Australia, please contact your Australian Superannuation provider to organise a withdrawal. If you would like to reinvest your Australian Superannuation funds upon withdrawal, please let us know if you would like to speak with a Forsyth Barr Authorised Financial Adviser about investment options. First home withdrawals Unfortunately, money transferred from the Australian superannuation system is not able to be withdrawn for a first home purchase. 5

6 What happens if my plans change and I move back to Australia? If you move back to Australia after transferring to the Summer KiwiSaver scheme, you are able to transfer your savings back to Australia. Simply complete the Transfer to an Australian Superannuation Fund form. As part of the transfer, Summer will provide a statement to your Australian provider showing which components of your savings were previously counted toward the non-concessional contributions cap. This will assist the Australian provider in making a determination on how to treat the funds when they arrive. We recommend speaking with your preferred Australian provider prior to completing any paperwork. It is voluntary for Australian providers to receive New Zealand sourced balances under the Trans-Tasman portability arrangement. Moving overseas (to countries other than Australia) If you are emigrating permanently to anywhere other than Australia, you can transfer your KiwiSaver account balance as a cash payment once you have been away for more than 12 months. This excludes any Government contributions and amounts transferred from an Australian complying superannuation scheme. 6

7 Take the next steps 1 Make an informed decision. Please read the information contained on these pages, as it will assist you in making a decision about whether or not you can bring your Australian superannuation funds across to New Zealand. If you wish to speak with one of our KiwiSaver Specialists or a Forsyth Barr Authorised Financial Adviser regarding your situation, please contact us - we are happy to help. 2 If you have lost your superannuation, make a start by contacting the ATO and completing their searching for lost super form. If you know your Australian provider, please contact us on and we ll get the process underway. Please note that any transfer of Australian superannuation must be for the whole amount of the funds invested with your Australian provider(s). You are not able to undergo a partial transfer. 3 We ll get in touch with the Australian provider and work with you to get everything together that the Australian provider needs to action your request. 4 Send everything back to Summer, we ll make sure everything is okay and provide our details before sending your request off to the Australian provider. 5 You may need to give it a little time, but we ll be in touch with any information we get regarding your transfer. Please be aware that the Australian provider may also get in touch with you directly. Should you need any assistance in dealing with the Australian provider please contact us and we ll be in touch. 7

8 Transfer of Australian superannuation savings to Summer KiwiSaver scheme Please check with the Summer KiwiSaver Team first before completing this form. Many Australian providers will only accept their own form, however not all provide a form. Complete this form and return it to Forsyth Barr Investment Management Limited, Private Bag 1999, Dunedin. You will be eligible to transfer your savings in an Australian complying superannuation fund regulated by the Australian Prudential Regulation Authority to the Summer KiwiSaver scheme if you have left Australia to live permanently in New Zealand. Please ensure you complete all sections below. My details Full name: Australian Tax File Number: If unknown, visit the Australian Tax Office website Australian Tax File number: Australian complying superannuation fund details Australian Complying Superannuation Fund membership number: Superannuation Product Identification Number (SPIN): Australian provider name: Australian Complying Superannuation Fund membership name: If unknown, leave blank. Australian Complying Superannuation Fund name: Australian Business Number (ABN): Mailing address: Street no./name/po Box: Suburb/RD no.: Town/City: State: Postcode: Country: Australia Please provide the address for your Australian complying superannuation fund if known. If unknown, please leave this field blank. New Zealand permanent emigration transfer instructions I confirm that I have permanently emigrated to New Zealand and request my Australian complying superannuation fund balance to be transferred to my account in the Summer KiwiSaver scheme. Date I left Australia: Day Month Year We require the following proof that you have permanently emigrated: Proof of departure (e.g. evidence of confirmed travel arrangements, physical or digital airline ticket, passport or any necessary visas). Proof that you have resided at a New Zealand address at some time since departing Australia (e.g. utility or rates bill, telephone bill, bank or credit card statement, Government Agency statement, insurance policy, or rental agreement). Please turn over Summer KiwiSaver scheme summer.co.nz

9 New Zealand permanent emigration transfer instructions (Continued) We require certified proof of your identity from the following options: What is an original certified copy of a document? An original certified copy of a document is one where a trusted referee has viewed the original document and compared it with a scanned or photocopied version. The trusted referee provides a written statement on the copy to the effect that the copy provided is a true and correct copy and represents your identity. The trusted referee s written statement must include their name, occupation, and signature and the date of confirmation. Please note: This confirmation is only valid for three months. Who is a Trusted Referee? He or she is someone who: is at least 16 years old is not your spouse or partner is not related to you does not live at the same address as you is not involved in the business or transaction requiring the certification They must be a: Commonwealth representative New Zealand Police Constable Justice of the Peace Registered Medical Doctor Registered Teacher Minister of Religion Lawyer Notary Public New Zealand Honorary Consul Member of Parliament Chartered Accountant Kaumatua Option A: An original certified copy of any one of the following, showing full name, date of birth, signature, and photograph: Current Passport Current New Zealand Firearms Licence Foreign National Identity Card Agreement and signature Option B: The information in this form and any required supporting documentation is being collected so a decision can be made regarding your transfer request. Forsyth Barr Investment Management Limited and its affiliates and your Australian complying superannuation fund provider have access to this information. I request the transfer of the entire balance of my account in the Australian complying superannuation fund named in the Australian complying superannuation fund section of this transfer request and consent to that transfer. I understand that any information I give to Forsyth Barr Investment Management Limited or its affiliates may be passed on to my Australian complying superannuation fund provider as reasonably required and I authorise Forsyth Barr Investment Management Limited or its affiliates to give such information in relation to this transfer as requested by my Australian complying superannuation fund provider. I acknowledge that there may be tax consequences when transferring my Australian complying superannuation fund savings to the Summer KiwiSaver Scheme, and that I am liable for any such tax consequences. I acknowledge that Forsyth Barr Investment Management Limited has recommended that I seek independent and professional Australian and New Zealand tax advice pertaining to my circumstances in relation to the proposed transfer. I understand that my Australian complying superannuation fund account will be closed upon my savings being transferred to the Summer KiwiSaver scheme. I understand that following a transfer of my savings to the Summer KiwiSaver scheme I will not be able to transfer them to a third country or any non- KiwiSaver superannuation scheme. An original certified copy of a combination of a Current New Zealand Driver Licence (showing both sides of the Licence) Plus one of the following: Birth Certificate or Citizenship Certificate Document issued by a registered bank showing the person s full name and signature (e.g. credit/debit card, eftpos card) If you cannot provide these documents please contact us to discuss. Bank statement issued by a registered bank (as delivered by mail, not via internet banking) dated within the last 12 months Government agency document that contains the person s full name and signature (e.g. SuperGold Card) Government agency statement (e.g. IRD statement) dated within the last 12 months I understand that my transfer request is subject to Forsyth Barr Investment Management Limited and my Australian complying superannuation fund provider s approval, and that Forsyth Barr Investment Management Limited and my Australian complying superannuation fund provider may request additional information in support of this transfer request before my transfer request is processed. I understand that my transfer request will be unable to be processed if for any reason Forsyth Barr Investment Management Limited s policy in relation to transfers from Australian complying superannuation funds changes. I acknowledge that on the receipt of my funds by the Summer KiwiSaver scheme, the Australian complying superannuation fund provider will be released from all liabilities in respect of my membership of the Australian complying superannuation fund. I understand that the Australian sourced savings in my Summer KiwiSaver scheme account will not generally be able to be accessed until I reach the age of 60 and satisfy the Australian definition of retirement at that age, and that these eligibility criteria may change. I understand that once my savings have been transferred to the Summer KiwiSaver scheme, it will become (with a few exceptions) subject to the rules and regulation governing the Summer KiwiSaver scheme. I understand that should I transfer from the Summer KiwiSaver scheme to another KiwiSaver Scheme, the savings transferred from my Australian complying superannuation fund will still be subject to the same rules and regulations. Signature: For Office Use Only: Account number: Date: Day Month Year KWS Apr 2018 Summer KiwiSaver scheme summer.co.nz

10 Statutory Declaration Please complete this supplementary Statutory Declaration if the Australian Superannuation provider's form does not include a Statutory declaration, or if you are completing Summer's form. Complete this form and return it to Forsyth Barr Investment Management Limited, Private Bag 1999, Dunedin. Person making declaration Declarations: Please ensure you print your name in full along with recording your current address and occupation. I: (full name of person making declaration) Of (address in full): Street no./name/po Box: Suburb/RD no.: Town/City: Postcode: Country: New Zealand Occupation: (occupation of person making declaration) Do solemnly and sincerely declare that: 1. I have permanently emigrated to New Zealand 2. All supporting documents provided with this application are true and correct And I make this solemn declaration conscientiously believing the same to be true and by virtue of the Oaths and Declarations Act Signature: Date: Day Month Year Declared at: this day of 20 place date month year Witness: A statutory declaration must be made before a person entitled to witness a statutory declaration under the Oaths and Declarations Act This includes a barrister and solicitor of the High Court, a Justice of the Peace, a notary public, the Registrar or Deputy Registrar of the High Court or of any District Court and a Member of Parliament. Please contact us if you require further information. Witness Witness to complete (being a person authorised under the Oaths and Declarations Act 1957): Name: Occupation: Address: Signature of witness: Date: Day Month Year For Office Use Only: Account number: KWS Apr 2018 Summer KiwiSaver scheme summer.co.nz

11 Authority to request information Australian Complying Superannuation Fund Please complete this form if you would like Summer to be able to request account information, including statements, information on additional benefits (including insurance etc) attached to your Superannuation product. My Australian complying superannuation fund details Australian provider name: Mailing address: Street no./name/po Box: Suburb/RD no.: Town/City: Country: Australia State: Postcode: My details Full name: Date of birth: Day Month Year Australian Tax File number: Australian Complying Superannuation Fund membership number: New Zealand Residential address: Street No./Name: Suburb/RD No.: Town/City: Postcode: Country: New Zealand Previous Australian Mailing Address: Street no./name/po Box: Suburb/RD no.: Town/City: Country: Australia State: Postcode: My agreement and signature Please accept this form as my instruction to you to release any information requested about my investment in your superannuation fund to the Summer KiwiSaver scheme. Please do not hesitate to contact me if you require further information. Name: Signature: Date: Day Month Year Summer KiwiSaver scheme summer.co.nz

12 The Summer KiwiSaver scheme is managed by Forsyth Barr Investment Management Ltd. You can obtain the Scheme s product disclosure statement and further information about the Scheme at from one of our offices, or by calling us on Forsyth Barr Investment Management Ltd is a licenced manager of registered schemes and part of the Forsyth Barr group of companies. Disclosure statements are available from Martin Hawes and your Forsyth Barr Authorised Financial Adviser, on request and free of charge. summer.co.nz info@summer.co.nz KWS Forsyth Barr Limited September 2018