ASFA has welcomed the release of draft legislation which will enable individuals to move their superannuation account balances between the Australian and New Zealand superannuation systems.
Currently, Australians and New Zealanders working in Australia cannot take their superannuation with them when they permanently leave Australia.
"This will deliver benefits to super fund members through reduced account administration fees and potentially higher retirement benefits," ASFA chief executive Pauline Vamos said today.
"This new measure will complement other initiatives designed to slash the number of unnecessary or duplicate accounts in the Australian superannuation system."
New Zealanders who move to Australia will be able to consolidate their New Zealand retirement savings with their Australian superannuation benefits. About 50,000 New Zealanders moved to Australia in the last year.
Similarly, Australians moving to New Zealand, and New Zealanders returning home, will be able to consolidate their Australian benefits with their New Zealand retirement savings. About 14,000 people living in Australia moved to New Zealand in the last year.
Consolidating superannuation accounts will mean that there will be fewer superannuation accounts in both the Australian and New Zealand systems.
Australia and New Zealand have free flows of citizens between the two countries and this measure will both assist individuals and build links between the financial and superannuation systems of the two countries.
For media inquiries, please contact:
Pauline Vamos, CEO, 0433 169 342
Rebecca Glenn, GM Marketing and Communications, 0416 170 439
Megan McDougall, Media and Communications Coordinator, (02) 8079 0849
The Association of Superannuation Funds of Australia (ASFA) is the peak policy, research and advocacy body for Australia's superannuation industry. It is a not-for-profit, sector-neutral, and non-party political national organisation whose aim is to advance effective retirement outcomes for members of funds through research, advocacy and the development of policy and industry best practice.