1. CONTRIBUTIONS, FEATURES AND BENEFITS

Transcription

1 1. CONTRIBUTIONS, FEATURES AND BENEFITS 1 July 2017 The information in this document forms part of the Kinetic Super Product Disclosure Statement dated 1 July This document outlines more detailed information about how super works and the significant features and benefits of having your super in Kinetic Super. SECTION CONTENTS 1. Your account 2 2. Growing your super 3 3. Consolidating your super 6 4. Investment returns and unit pricing 6 5. Accessing your super 7 6. Beneficiaries and nominations 8 7. Family law and your super 9 8. Providing proof of identity 9 9. Staying in touch with your super Statements, publications and forms Privacy Making an enquiry or complaint Access to super professionals 11 Please note that under the Trust Deed, the Trustee may require information, evidence or proof in order to administer benefits in accordance with the Trust Deed and superannuation law. If any requested information, evidence or proofs is not provided or is later found to be inaccurate or incomplete, we may reject an application for membership, reject a benefit claim, refuse to accept contributions or impose conditions on or adjust benefits (such as insurance benefits for example) as we consider necessary or appropriate. 1

2 IN Contributions and positive investment returns YOUR KINETIC SUPER ACCOUNT OUT Fees, insurance premiums, taxes and negative investment returns 1. YOUR ACCOUNT Your Kinetic Super account would have been established by: your employer, if we are their default fund, or by completing a Member application form or joining online. Joined via your employer If you didn t nominate a super fund, to ensure your employer complies with legislative requirements, they ll make superannuation guarantee (SG) payments to us, if we are their chosen default fund. Types of membership available We offer two membership types: Employer sponsored - employees nominated by their employer to be a member or who have employer contributions made to their Kinetic Super account because they have exercised choice through their employer. Personal - individuals who aren t employer-sponsored members, including the self employed. Confirmation of your membership with Kinetic Super Once your account has been established, we ll send you a Welcome Mail confirming your membership with us. The Welcome Mail will include your membership number, your occupational category and your insurance cover (if eligible). It s important you check the information we have on your account is correct. You can update your details online at any time by visiting the website and registering for Member Online Services. You have choices Kinetic Super allows you to personalise your super to meet your specific needs with the following features: Choice of how your super is invested - eight investment options, including the Growth (MySuper) option. Choose one option or a mix of several options. If you don t make a choice, the default investment option is Growth (MySuper). Refer to the Investments Incorporated Information for more information. Flexible insurance cover - we offer Death, Total & Permanent Disablement (TPD) and Income Protection insurance cover. Eligible employer-sponsored members will receive automatic Death & TPD insurance cover. Refer to the Insurance Incorporated Information for more information. Choice of beneficiary types - you have the option to nominate either binding or non-binding beneficiaries. Flexible contribution methods - we accept direct debit, BPAY and cheque. You can update your details and personalise your super through your online account or by completing the relevant forms available at kineticsuper.com.au Your account should grow with your super contributions plus net investment returns (which can be positive or negative). Net investment returns take into account indirect costs (including performance fees where applicable), investment-related taxes and transactional and operational costs, however other taxes, fees and premiums are deducted from your account. The diagram above illustrates how your account works. Where applicable, the Medicare levy will be applied. Please refer to the Australian Taxation Office (ATO) if you re exempt from paying the Medicare levy. You can make choices about your super by visiting kineticsuper.com.au or calling If we re unable to open or add monies to your superannuation account for any reason, monies received for investment in Kinetic Super must be held in a separate trust account until the monies are allocated to an account or refunded. Any interest on these monies is retained in the Fund s pool of assets. You ve made the right choice Members Kinetic Super is the industry fund that s passionate about keeping people connected to their super because we know things change. Wherever you work, whatever you do, we can help you take control of your super at every stage of your life and career. For over 20 years, we ve worked throughout Australia across various industries. Today we manage over $3 billion in retirement savings and operate for the benefit of over 250,000 members. Employers Kinetic Super, an authorised MySuper provider, is the award-winning fund that s bringing a new energy to super. We re inspiring Australians to invest in their financial futures and take control of their super. 2

3 We re passionate about working with employers to help realise this. We work with businesses to help them navigate the ever changing, complex super environment, and provide a range of market-leading tools and services to do this in the most efficient way. We think Kinetic Super stacks up, but see why over 250,000 members trust us to manage more than $3 billion. Cooling off If you re a personal member (joined online or via an application form) you have a cooling-off period in which to cancel your membership in writing within 19 days of the Fund receiving your application. If you joined via your employer, you don t have a cooling-off period. You can request to transfer your super to your nominated fund by completing the Request for benefit payment form available by calling New participating employers may also cancel their account within the cooling-off period in writing within 19 days of the date in which the Fund receives its initial contribution for their first employee. Cancellation of an account may not be possible if a right or power has been exercised in relation to the account or the rights or powers in respect of the account have ended for some other reason (e.g. a benefit claim is made). Member contributions (other than deductible member contributions) are nonconcessional contributions, subject to a non-concessional contribution limit. Refer to ato.gov.au for more details, particularly if you are considering making member contributions in excess of the annual limit. Spouse contributions made for you count towards your nonconcessional contribution limit. 2. GROWING YOUR SUPER Super is money for your retirement. You build up super while you re working to provide you income when you leave the workforce. You can add to your super in two ways: Before-tax Also called concessional contributions Before-tax contributions include: Superannuation Guarantee (SG) additional employer contributions (including salary sacrifice contributions) tax-deductible personal contributions made by self-employed persons from before-tax income AND tax-deductible personal contributions made by employees from after-tax pay. Usually subject to a 15% contributions tax rate. High-income earners are subject to an extra 15% tax rate. Also, additional tax applies if concessional contributions exceed the Government s yearly or other limits. Will be taxed at a much higher rate if we don t have your Tax File Number (TFN). We won't be able to accept any member contributions that are concessional contributions if we don't have your TFN. SG contributions - Australia has a compulsory system of superannuation, which means the money for your retirement comes mostly from compulsory SG contributions your employer pays into your super account. From 1 July 2014, the SG amount is 9.50% of your Ordinary Time Earnings (OTE). Some employers may choose to pay more than the compulsory 9.50% or may pay extra when you make voluntary contributions. Tax laws require super funds to pay a contributions tax at the rate of 15% (or 30% for high-income earners) in relation to concessional contributions that are within Government limits. The tax we pay may be lower than the applicable tax rate because of the impact of tax deductions or other adjustments. If we don t hold your TFN and/or government limits are Member contributions can only be accepted if we have your Tax File Number (TFN). In addition, if you are age 65 or over you must meet a work test to make member contributions or receive voluntary employer contributions (including salary sacrifice contributions). To meet the work test you must have worked at least 40 hours during any continuous 30-day period during the financial year in which the contributions are made. After-tax Also called non concessional After-tax contributions include: member voluntary (after-tax) contributions for which a tax deduction is not obtained other non-deductible personal contributions spouse contributions (for the receiving spouse). Generally don t incur any further tax when they re paid into your account, provided the Government s yearly or other limits are not exceeded. We won t be able to accept any nonconcessional contributions if we don t have your TFN. exceeded, you ll be subject to a much higher rate of tax. For more information about tax deductions and Tax File Numbers refer to the Kinetic Super Fees and costs Incorporated Information. The minimum SG contribution rate is gradually increasing to 12% in the future. Boost your super Most of us will need to add to our super to enjoy the lifestyle we had while we were working. Paying extra into your super could save you tax and help you retire with more. You can make different types of contributions to your super including: Salary sacrifice - this is an arrangement between you and your employer where you agree to sacrifice part of your future pre-tax salary in return for your employer making a contribution to super of a similar value. 3

4 As the tax you pay on your super contributions may be lower than your marginal tax rate, this can have tax benefits. However, you should be aware salary sacrifice contributions may count as income when assessing your eligibility for various government purposes or payments (such as the government co-contribution, tax deductions on member contributions by eligible persons, spouse contribution rebates and certain social security entitlements). For more information, go to ato.gov.au. Member voluntary contributions - in addition to the amount your employer contributes on your behalf, you can make regular member voluntary contributions from your salary, or you can make a one-off lump sum voluntary member contribution yourself or via your employer, deducted from your net (after-tax) pay. From 1 July 2017, you can claim a tax deduction for your personal contributions, if eligible. See below for more information about personal deductible contributions. Spouse contributions your spouse can make contributions to your super on your behalf. These contributions not only help to grow your super but may be eligible for a tax offset. If you re not working or earning less than $40,000 p.a. and other eligibility conditions are met, your contributing spouse may claim up to an 18% tax offset (up to a maximum of $3000) in relation to contributions made in the 2017/18 financial year. Please see the Spouse contributions fact sheet available on our website. Contribution splitting you can rollover a portion of your recent concessional (before-tax) contributions to your spouse s complying super fund. To split contributions, you need to contact us at the end of the financial year. You can split your eligible contributions once for each financial year. Split contributions remain preserved until the receiving spouse meets a condition of release and must be counted towards your concessional contributions cap. More information regarding eligibility and the benefits of contribution splitting can be found in the Contribution splitting fact sheet available on our website. Government co-contribution - if you re a low-income earner, the Government will contribute money to your super account if you add to your super from your after-tax pay. To qualify for the maximum co-contribution, you need to earn less than $36,813 (low income threshold) for the 2017/18 financial year and meet other eligibility conditions. The Government will match $0.50 for every $1 you add to your super, to a maximum of $500. You may receive a smaller co-contribution if you earn an amount greater than the low income threshold and lower than $51,813. The ATO determines your eligibility for the co-contribution at the end of each financial year once you have lodged your income tax return. If you re eligible, a payment will be made directly to your super account by the ATO without you needing to apply. More information about eligibility can be found at ato.gov.au. Personal deductible contributions - Any individual can claim a tax deduction for their personal contributions provided they meet other eligibility criteria. A deduction can be claimed for 100% of eligible contributions made. However you should note that obtaining a tax deduction for personal contributions means that the contribution will be treated as a concessional contribution, rather than a non-concessional contribution. The amount of concessional contributions that can be made without attracting additional tax is subject to a much lower limit than for non-concessional contributions. If you want to claim a tax deduction for your personal super contribution, you need to download and complete the Notice of intent to claim or vary a deduction for personal super contributions from the ato.gov.au return it to Kinetic Super by the earlier of: the time of lodgement of tax return, or the end of the financial year following the year the contribution was made. You should obtain your own taxation advice about making tax deductible contribution. Refer to the ato.gov.au for information about eligibility criteria for claiming a tax deduction. Contribution limits and tax payable The Government limits the amounts you can contribute to super on a concessionally taxed basis (across all funds or products you participate in). Apart from the annual limits that apply to concessional and nonconcessional contributions (explained in more detail below) subject to any carry-forward or bring-forward arrangements that may apply, from 1 July 2017, your ability to make certain contributions and the taxation of your contributions also depends on your total superannuation balance. Total superannuation balance Your total superannuation balance is generally made up of the balance of all your super accounts (including pension accounts), however some amounts are excluded (for example structured settlements arising from eligible personal injury compensation amounts contributed to super). The calculation of this balance is complex and depends on your personal circumstances. We do not keep track of your total superannuation balance (this will be done by the ATO who will impose additional tax in respect of your super where applicable). If you have a significant amount of money in super, you should consider obtaining advice relating to your personal circumstances from an appropriately qualified adviser. If you have a total superannuation balance that is: Equal to or greater than the general balance cap ($1.6 million for the 2017/18 financial year) at the end of 30 June of the previous financial year - you won t be able to make any further non-concessional contributions in the following financial year without triggering additional tax; Less than the general transfer balance cap at the end of 30 June of the previous financial year - you can make non-concessional contributions but your total superannuation balance will determine how much you can make. From 1 July 2017, your total superannuation balance is relevant when working out your eligibility: to contribute unused concessional contributions cap under the carryforward rules described below; to make non-concessional contributions (including the amount of contributions you can make under the bring-forward rules described below); for the government co-contribution for low-income earners. You can only access a government contribution if you make personal (non-deductible) super contributions; for the tax offset for spouse contributions you make for your low income spouse (or your spouse s eligibility for this offset when making spouse contributions for you). 4

5 If you go over the limits, you may pay extra tax in addition to the tax on contributions that superannuation funds must pay to the Australian Taxation Office in relation to contributions to the Fund. Extra tax may apply whether or not you retain amounts in excess of government limits in the Fund or obtain a refund of the excess contributions from the Fund. The extra tax may, in some circumstances, be paid out of your super. Go to ato.gov.au to find out more about how and when you can withdraw excess contributions from your super. Payment of other amounts into your super Other payments may also be made into your super account, for example, personal injury settlement amounts, foreignsourced superannuation and the proceeds from the sale of a small business. We recommend you seek advice from a licensed or authorised adviser about these types of payments. Foreign-sourced superannuation Not all foreign super (pension) schemes allow transfers to Australian super funds the pension schemes and laws of individual countries vary greatly and the source scheme will need to be consulted. A summary of the contribution limits and tax rates follows, as applicable in the 2017/18 financial year, assuming we hold your TFN. The limits and thresholds applicable are subject to change from year to year. If we re required to deduct any other tax from your super (by law), we will. Go to ato.gov.au for up-to-date information. Type of contribution Limit Applicable tax rate Concessional $25,000 per year Nonconcessional If you put in more than the limit per year (and retain it in the Fund), the excess amount will count towards your non-concessional contributions limit. Carry-forward rule for unused Concessional Contributions From 1 July 2018, if you have a total superannuation balance of less than $500,000 at the end of 30 June of the previous financial year, you may be able to 'carry-forward' any unused amount of your concessional contributions cap. The first year in which you can access unused concessional contributions is the 2019/20 financial year. This means that in the 2019/20 financial year you will only be able to carry forward unused concessional contributions from the 2018/19 financial year. Unused concessional contribution amounts are available for a maximum of five years, and will expire after five years. $100,000 a year or nil, if your total super balance is greater than or equal to the general transfer balance cap at the end of 30 June of the previous year. The general transfer balance cap is $1.6 million for the 2017/18 financial year and subject to indexation in future years. Bring-forward rule for Non-concessional Contributions If you are under 65 years of age, you may make non-concessional contributions of up to three times the annual non-concessional contributions cap in a single year by bringing forward your non-concessional contributions cap for a threeyear period. To be eligible, you must: be under age 65 for one day during the triggering year (the first year); and your total superannuation balance must be less than $1.5 million at the end of 30 June 2017 where the first year is the 2017/2018 financial year. 15% (or 30% if you re a highincome earner*) on amounts up to your allowable limits. Your personal tax rate (less an offset for contributions tax paid by your super fund) plus an excess concessional contributions charge, on amounts in excess of the limit. 0% on amounts up to $100,000 a year. Tax applies to the excess contributions. The amount depends on whether you retain excess contributions (and associated earnings) in the Fund. If retained in the Fund, a rate of 47% applies to the excess. If under age 65, any contributions over the allowable contribution amount in the three-year period will be taxed at 47%. The remaining cap amount for years two or three of a bring-forward arrangement is reduced to nil for a financial year if your total superannuation balance is greater than or equal to the general transfer balance cap ($1.6 million for the 2017/18 financial year subject to indexation in future years) at 30 June of the previous financial year. If you triggered a bring-forward arrangement in the 2015/16 or 2016/17 financial years and have not used up your remaining cap, transitional rules applicable from 1 July 2017 will affect how much you can contribute in years two or three of your bring forward arrangement. For further information about this, go to or obtain personal taxation advice. *High-income earners (Division 293 tax) - the Government imposes an additional tax on concessional contributions made by, or on behalf of, very high-income earners (within government limits) retained in a super fund. This additional tax is referred to as the Division 293 tax. The Division 293 tax is imposed at a rate of 15% on individuals whose relevant income and concessionally taxed superannuation contributions (referred to as low-tax contributions) exceed $250,000 for the 2017/18 financial year. The relevant income threshold is subject to change. More information is available at ato.gov.au. Seek personal taxation advice for information about how super related taxes may affect you. 5

6 It is your responsibility to monitor the amount of concessional and nonconcessional contributions you make each year and your total super balance. If you have a significant amount of super savings in the Australian superannuation system, we recommend you obtain appropriately qualified financial and taxation advice. 3. CONSOLIDATING YOUR SUPER The benefits of having your super in one place may include: making it easier to keep track of your money paying only one set of fees, and receiving less paperwork. Find lost or other super If you ve changed jobs, name or address, or simply forgotten your other super fund details, then there s a chance you have lost or unclaimed super. It only takes a few minutes to transfer your lost or other super to your Kinetic Super account. It s fast, easy and it s free. 1. Register or log in to your online Kinetic Super account. 2. Provide your TFN and tick the Super Search Consent box. 3. We ll let you know the outcome of our search. Transfer your super to Kinetic Super If we find some lost or other super in your name, transferring it to Kinetic Super is easy. 1. Log in to your online account. 2. Click the Consolidate super tab. 3. Enter your other fund(s) name and other fund(s) member number. We ll then send you confirmation once the monies have been transferred to Kinetic Super. What you should check with your other fund You should check with your exiting fund(s) your: Tax File Number - to protect your super, you ll need to prove your identity when you move money between super funds. Your TFN is the easiest way to identify you and will be used by your transferring fund to confirm your identity with the ATO. If you choose not to provide your TFN, you may have to provide identity documents to your transferring fund for them to be able to process your request. You should contact your transferring fund to confirm if they have your TFN or any documentation they may require to process your transfer. Exit fees and insurance cover - it s your responsibility to check for any exit fees that may be applicable and confirm if any insurance cover or benefits will be altered or cancelled as a result of rolling out of the fund. More information can be found in the Locating and consolidating your super fact sheet available on the website. Take Kinetic Super with you Starting a new job doesn t mean you need to start a new super account. It s easy to stay with Kinetic Super when you move, simply fill out the Changing jobs form available at kineticsuper.com.au and we ll you a pre-populated Choice of super fund form to sign and give to your employer. 4. INVESTMENT RETURNS AND UNIT PRICING Your super account is divided into units, which have a unit price (this is called unitisation). When contributions and rollovers are made to your account, the number of units you hold will increase. Type of transaction Unit price used How the transaction is applied to your account Deposits Contributions Rollovers in, etc. Buy unit price on day deposit received Deposits increase units. To calculate the increase in units, divide the deposit amount (e.g. contribution) by the buy unit price applicable on the date the deposit is received. Withdrawals Partial or full benefit payments Rollovers out Fees deducted directly from your account, insurance premiums, tax, other deductions, etc. Investment switches Requests to switch investments from/to one or more investment options Sell unit price on day the withdrawal is processed (may not be the date received) Sell unit price to switch out of an investment. Buy unit price to switch in to an investment. Withdrawals decrease units. To calculate the decrease in units, divide the withdrawal amount by the sell unit price at the date it is processed. Please refer to the Kinetic Super Investment Incorporated Information regarding how investment switches are processed. 6

7 When withdrawals or transfers are made out of your account, or fees such as administration fees and insurance premiums are deducted directly from your account, the number of units you hold will decrease. Unitisation can be compared to buying and selling shares, with unit prices changing frequently depending on the investment performance of each investment option and its underlying investments. In this way, investment returns are passed on to super accounts through changes in the unit prices. If the net investment returns for an investment option are positive, the unit price will increase. If the net investment returns are negative, the unit price will decrease. As a result, contributions and rollovers into your account or withdrawals from your account will generally convert to a different number of units depending on when the transactions occur. The same applies to investment switches. Unit prices are usually declared weekly after allowing for investment-related tax, indirect costs and buy/sell costs (other fees and costs may be deducted directly from your account and are not taken into account when calculating the unit price). The Trustee may change the day on which unit prices are declared from time to time (without notice). Also, adjustments may be made to unit prices to take into account asset valuations or tax adjustments as necessary from time to time. In extraordinary circumstances, the Trustee may suspend, defer or delay unit pricing, unit allocation or withdrawal payments where: such action is warranted because of movements in investment markets such action is required or approved by APRA or permitted under superannuation law, or the Trustee considers such action is in the best interests of members where the total amount required to be paid would detrimentally affect the remaining members in an investment option. This means, for example, if the Trustee believes relevant information is not available for it to determine unit prices, or an event occurs that may significantly impact the Fund or an investment option, the Trustee can suspend investment movement in to, or out of, an investment option. The weekly unit price is different depending on whether you are buying or selling units with a buy price applicable to buying units and a sell price applicable to selling units. This means the buy price applies to any money going into your super account or an investment option and the sell price applies to money leaving your super account or an investment option. The table on page 6 illustrates how buy and sell unit prices are applied when different transactions are processed to your account. The difference between the buy price and sell price is referred to as a buy/sell spread. For more information about buy/ sell spreads refer to the Kinetic Super Fees and Costs Incorporated Information. See our website at kineticsuper.com.au for more information about unit pricing including the most recent unit prices. Reserves Kinetic Super maintains reserves to facilitate the efficient operation of the Fund (including the management of the Fund s tax liabilities) and for risk management in a manner considered appropriate by the Trustee. The Fund has established and will maintain an Operational Risk Financial Requirement Reserve (ORFR). The ORFR is intended to provide adequate financial resources to address losses arising from operational risks affecting the Fund. The Fund also has an administration reserve. For more information about reserves, please refer to the latest Annual Report at kineticsuper.com.au or call us on ACCESSING YOUR SUPER Super is a long-term investment. Accordingly, the Government has placed restrictions on when you can access your super. You ll only be able to access your super if you have satisfied a condition of release. Conditions of release You must meet a condition of release before your preserved benefits can be withdrawn from a super fund. Generally, if you are an Australian citizen, New Zealand citizen or permanent resident of Australia, the conditions of release include: permanent retirement from the workforce on or after reaching your preservation age termination of employment after you reach age 60 reaching age 65 permanent incapacity death terminal medical condition severe financial hardship specified compassionate grounds. If you re a temporary resident (other than a New Zealand citizen), access to your super in cash is more limited. See over page for more information Benefit components Preserved benefit Is the amount that (with some exceptions) must generally stay in superannuation until you retire from the workforce on or after your preservation age. Restricted A restricted amount non-preserved which may be paid benefit in cash (less any tax) when you stop working for your current employer. Unrestricted Can be paid to you at non-preserved any time (less any tax, if benefit applicable). Preservation age Your preservation age depends on the year you were born. Date of birth Preservation age Before 1 July July June July June July June July June July June Severe financial hardship Depending on your age, you can apply for the early release of you super benefit on the grounds of severe financial hardship. You must be receiving eligible Commonwealth Government income support benefits to qualify and may need to provide evidence to support your claim. Specified compassionate grounds You may qualify to access your benefits on compassionate grounds if you need to 7

8 cover expenses you or your dependants incur for: medical expenses (including medical transportation) stopping foreclosure on your mortgage for your home modifications to your house or car due to severe disability, and palliative care or funeral expenses. Decisions on payments on specified compassionate grounds are made by the Department of Human Services (DHS). Temporary residents Temporary residents who hold certain visas may be able to access their super when they permanently depart Australia. The easiest way to claim your super is to apply using the DASP online application available at ato.gov.au. Once your application has been approved, the ATO will notify us. Depending on how much money you have in your super, you may be required to provide us with further documentation. More information including eligibility criteria, can be found in the Transferring and withdrawing your benefit fact sheet available on our website. ERF and ATO transfer There are certain circumstances in which your super may be transferred without your consent to: an eligible rollover fund (ERF) the ATO as lost or unclaimed super or after age 65. See section 9 below for some more details. More information and definitions about lost or unclaimed super is available at ato.gov.au 6. BENEFICIARIES AND NOMINATIONS In the event of your death If you die, your account balance and any insurance cover you may have will be paid to the person(s) you have nominated. There are rules around who can receive your super in the event of your death. Super law states that generally only a dependant or your Legal Personal Representative can receive your super. Who is a dependant? A dependant includes: your spouse (including a de facto spouse of the same or opposite sex) your child (or child of your spouse) of any age regardless of financial dependence (this includes step children, adopted children, children outside of marriage and children born after your death) anyone financially dependent on you anyone in an interdependent relationship with you at the time of your death. An interdependent relationship exists between two people if: they have a close personal relationship, and they live together, and one or both of them provides the other with financial support, and one or both of them provides the other with domestic support and personal care. Two people with a close personal relationship who do not meet the above criteria (e.g. they do not live together) because one or both suffers from a physical, intellectual or psychiatric disability can still be considered to have an interdependent relationship. Your Legal Personal Representative is the executor of your estate pursuant to your will (or the administrator of your estate if you die without a valid will). Nominate who you want to receive your benefit Binding nomination - the Trustee must pay your death benefit to the person(s) you have nominated if your binding nomination is valid and effective at the date of death (subject always to super law). Binding nominations received by the Trustee that comply with super law, are valid for three years from the date they are signed, however you should re-evaluate your beneficiaries on a regular basis as circumstances can change. Non-binding nomination your nomination will only be used as a guide. The Trustee has the final decision on how your benefit is paid in the event of your death. No nomination - the Trustee has the final decision about who gets your super in the event of your death (allowed under super law). Valid nominations To make a valid nomination: you can only nominate a dependant or your Legal Personal Representative your total allocation must add up to 100%, and it must be received by the Fund before your death. Transfer to another fund You can transfer all or part of your super account balance into another complying super fund. If you re doing a partial transfer, you must leave at least $1,500 in your account. An exit fee applies to each transfer you make from your account. If you transfer your entire account balance to another super fund, your insurance cover (if applicable) will stop. You should refer to the Insurance Incorporated Information for more information. How to nominate Type of nomination Binding nomination Non-binding nomination Online Not available. Visit kineticsuper.com.au and log in to your online account or register to make a non-binding nomination. Form Visit kineticsuper.com.au and download the Beneficiary nomination form or request a copy by calling Visit kineticsuper.com.au and download the Beneficiary nomination form or request a copy by calling

9 We may determine additional rules relating to binding nominations from time to time, which will be available at kineticsuper.com.au 7. FAMILY LAW AND YOUR SUPER Under super law, divorcing or separating couples can split the super entitlements of one or both of the partners as part of their property settlement. This can be done either by Court Order or by a binding financial agreement between the couple (after legal advice has been obtained). If this applies to you, your super will be split in accordance with the Court Order or valid superannuation agreement. For more information, speak to a legal adviser. Activity fees apply refer to the Kinetic Super Fees and Costs Incorporated Information. 8. PROVIDING PROOF OF IDENTITY We are required to comply with the Federal Government s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) legislation which requires we verify the identity of a member or benefit recipient before a benefit is paid in cash. This identity check (e.g. the provision of a certified copy of a driver s licence or passport) is designed to prevent super being used for money laundering or to fund terrorist or criminal activities. Withdrawals cannot be processed until the required proof of identity is supplied. On some occasions, we may to request additional information from a member or beneficiary to verify identity. Refer to the Certified documents fact sheet at kineticsuper.com.au. In some circumstances we may be required to disclose information about you to the Australian Transaction Reports and Analysis Centre (AUSTRAC), the Federal regulator charged with oversight of the AML/CTF legislation. If this happens, we are not permitted to inform you of this. 9. STAYING IN TOUCH WITH YOUR SUPER Your super is an important investment so ensure you keep your contact details up to date. Call us Our customer service team is available on from 8am to 8pm (AEST) Monday to Friday to assist you with any queries about your super and membership. Member Education & Advice Consultants You have access to Member Education & Advice Consultants as part of your membership to help you with general advice about super as well as intra-fund advice in relation to your Kinetic Super account. For more information about the Member Education & Advice Consultants, see page 11. Member Online Services Register and log in to your super account online. You can view your balance, change your contact details and request to be notified when your annual statement is ready to view online. Website Our website, kineticsuper.com.au, offers information you need to understand, manage and maximise your super. Some features include: access to your account through Member Online Services at any time check investment performance download forms and publications read and download fact sheets learn about Government changes to super u se the various online calculators to estimate your projected super savings consolidate your super online. If we lose contact with you Subject to any requirement for us to transfer unclaimed super to the ATO, if we can t contact you or your account balance is less than $500 and becomes inactive, the balance of your account may be transferred into an Eligible Rollover Fund (ERF). An account is deemed inactive if no additional contributions are received for more than one year. We may also transfer benefits to the ERF in other circumstances if we consider it appropriate. An exit fee will apply. Where possible, we ll contact you in writing before transferring you to the ERF. Our nominated ERF is called AUSfund. You can contact AUSfund on: The Administrator AUSfund Locked Bag 5132 Parramatta NSW 2124 Phone: Website: unclaimedsuper.com.au If your super is transferred to the ERF, you ll no longer be a member of or have any rights in Kinetic Super. You ll need to contact AUSfund directly in relation to your super. You can also obtain a Product Disclosure Statement from AUSfund using the contact details above. Any insurance cover you had in Kinetic Super will cease if your super is transferred to AUSfund. AUSfund doesn t provide insurance cover and has different fees, costs, investments and other features. Unclaimed super We are required to transfer any unclaimed super to the ATO. Unclaimed super includes: super for members who are aged 65 and eligible to have their super paid to them in cash but have not done so or because they cannot be contacted lost accounts with balances less than $6,000 (or other threshold set by the Government from time to time) lost accounts that have been inactive for 12 months where we are satisfied, based on information reasonably available to us, we will never be able to identify who the account is payable to super of former temporary residents who have left Australia. Under Part 3A of the Superannuation (Unclaimed Money and Lost Members) Act 1999, we must transfer the super of a former temporary resident to the ATO (on request of the ATO) after six months has elapsed since the temporary resident left Australia and their visa has expired or is cancelled. 9

10 You can locate lost or unclaimed super by conducting a search of the ATO s Lost Member Register, available from ato.gov.au. A former temporary resident can claim their super directly from the ATO as a Departing Australia Superannuation Payment (DASP), subject to applicable tax rates. Relying on relief granted by the Australian Securities and Investments Commission (ASIC), we won t send a notice or exit statement to former temporary resident members relating to the transfer of their super to the ATO. 10. STATEMENTS, PUBLICATIONS AND FORMS Regular statements You ll receive or be given access to an annual member statement after 30 June each year showing the details of your super account. The statement will provide you with information about your super, including the balance of your account, your insurance cover and account transactions during the year. Annual Report Each year we produce an Annual Report highlighting what we have been doing to help members, how the investment options have been invested, the investment performance and any regulatory or other changes to super. You ll be notified when the Annual Report is available (normally at the same time your annual statement is available). It can be viewed or downloaded from the website or you can call us to obtain a copy. Confirmation of transactions We provide confirmation of key transactions directly to members, however you may also obtain confirmation of a transaction by calling us on or by checking your online account. Other regulated disclosures The Trustee is required to disclose certain information on its website including a product dashboard, investment portfolio holdings, trustee and executive remuneration and voting policies. As, and when required, these disclosures can be accessed at kineticsuper.com. au. A copy of the Fund s Trust Deed is available from the website or on request. Fact sheets and forms We produce a number of fact sheets and forms to help you understand and manage your super. A range of documents can be downloaded from our website at kineticsuper.com.au. The fact sheets cover a range of topics including contribution limits, taxation and payment of benefits. 11. PRIVACY Protecting your privacy We collect information about you when, and after, you become a member. Some information about you may be provided by your employer. The information collected will be used to manage your super account and your entitlement to benefits. We ll only use and disclose information about members in accordance with the relevant privacy legislation and our Privacy Policy. Privacy Policy We recognise our obligation to comply with all relevant State and Federal legislation with regard to the collection and handling of your personal information. We re committed to handling your personal information with care. We ensure we comply with all applicable legislative requirements that regulate the collection, holding, use, correction, disclosure and transfer of personal information. Our Privacy Policy and Collection Statement (Policy) fully details the information we collect about you, why we collect this information and what the implications are if we don t collect this information. The Policy also covers the collection and use of sensitive information (such as health and medical information). The Policy sets out the contact details of the person to whom you may make queries or complaints in relation to our privacy practices. We recommend you read the Policy and familiarise yourself with its terms. If you d like more information about how we handle your personal information or a copy of our Policy, please contact us: Phone Fax info@kineticsuper.com.au Post Kinetic Super Locked Bag 5091 Parramatta NSW 2124 Alternatively, you may obtain a copy of the Policy from our website at kineticsuper.com.au/privacy. If you don t want to receive marketing communications from us, please contact us (using the contact details above). 12. MAKING AN ENQUIRY OR COMPLAINT At Kinetic Super we want you to be completely satisfied with the way we look after you and your super. So if you have a problem or believe an error has been made, we want to do everything in our power to resolve matters promptly. We welcome your feedback which is used constructively to improve our services to members. If you re not happy with the way we initially handle your enquiry or complaint, the matter can be escalated. If you have a general enquiry or want to raise a concern, you should first contact us on: Phone Fax info@kineticsuper.com.au Post Kinetic Super, Locked Bag 5091, Parramatta NSW 2124 Website kineticsuper.com.au If you re not happy with our initial response, you can make a formal complaint. We have a complaints handling process that aims to ensure all complaints are handled in a fair and reasonable manner. To make a formal complaint you can: Phone: and clearly state you are making a formal complaint complaints@kineticsuper.com.au 10

11 Access: kineticsuper.com.au and follow the links via Contact Us to the Complaints section Fax: Write to: The Complaints Officer Kinetic Super, Locked Bag 5091 Parramatta NSW 2124 Please ensure any written complaint is clearly marked as a Notice of Complaint. In the event you re not satisfied with the outcome or the progress of your complaint, you may be able to lodge a complaint with the Superannuation Complaints Tribunal (SCT). The SCT is an independent body established by the Federal Government to provide a simple and inexpensive review mechanism of decisions made by super fund trustees that affect individual members. Before you lodge a complaint with the SCT however, you must have first attempted to resolve your complaint through our internal dispute resolution procedure. Under Federal legislation, the Trustee has 90 days to deal with your complaint. However, a response will generally be provided to you much sooner. If your complaint has not been resolved within 90 days or you aren t satisfied with the Trustee s final decision, you may be able to lodge a complaint with the SCT. If the SCT accepts your complaint, it may attempt to resolve the matter by conciliation. This involves the SCT assisting the parties come to a mutual agreement. If conciliation isn t successful, the SCT may formally review the matter and make a binding decision. There are some complaints the SCT cannot consider such as those relating to the management of a fund as a whole. Time limits may apply to certain complaints such as total and permanent disablement claims and complaints about a Trustee s decision on the payment of a death benefit. If your complaint is in relation to one of these matters, please contact us or visit the SCT s website at sct.gov.au for more information. You can contact the SCT at: Superannuation Complaints Tribunal Locked Bag 3060 Melbourne VIC 3001 Phone Fax (03) Website sct.gov.au Privacy complaints If you want to complain about a privacyrelated matter, please contact us as above or . complaints@kineticsuper.com.au. For privacy-related matters, the Office of the Australian Information Commissioner may review your complaint. You can contact the OAIC on or visit the OAIC s website at oaic.gov.au. 13. ACCESS TO SUPER PROFESSIONALS We provide members with access to a dedicated team of Member Education & Advice Consultants who can meet with you face to face or over the phone to assist you with general advice about your super as well as limited personal advice (intra-fund advice) about your Kinetic Super account. Employee representatives of Kinetic Superannuation Ltd (KSL) provide general financial advice to employer and prospective employer clients in relation to KSL s superannuation products. The Manager, Client Relationships, Business Development Associates and Client Relationship Associates also provide general financial advice to members and prospective members of KSL s superannuation products. In some circumstances we may also provide financial advice in respect to other superannuation products. Kinetic Superannuation Ltd (KSL) has engaged Industry Fund Services Ltd (IFS) (ABN AFSL ) to provide financial advice services in relation to KSL s superannuation products. These financial services are provided by IFS under IFS s Australian Financial Services License, not by KSL, and therefore KSL is not responsible for the services. Member Education & Advice Consultants are employed by KSL and are Authorised Representatives of IFS. Contact your local Member Education & Advice Consultant on or memberexperience@kineticsuper.com.au for more information. We can also provide members with access to financial planners for more complex matters and specific personal financial advice. These financial planners are not representatives of the Trustee. For more information about financial planning services go to kineticsuper.com.au For information about other significant features and benefits of having your super in Kinetic Super including investments, insurance and fees and costs, refer to the Kinetic Super: Investments Incorporated Information Risks Incorporated Information Insurance Incorporated Information Fees and Costs Incorporated Information. 11