“Lost accounts and Auto Consolidation”
From 31st December 2012, people with superannuation should note that super funds will transfer any “lost” accounts with balances less than $2,000 where there have been no contributions for 12 months to the Australian Taxation office. At the same time, accounts with balances of less than $2,000 that belong to members who are contactable but have lain dormant for 5 years will also be transferred to the tax office. Although people will be able to claim their lost funds, it is in your interest consolidate any numerous accounts into one active account so that you can effectively manage your super.
As from January 2014 , the ATO will use members’ Tax File Numbers to consolidate superannuation accounts with less than $1,000 whereby NO contributions have been made for 2 years. This “Auto Consolidation” should benefit members who have small amounts in various superannuation accounts so that they do not become eaten away by fees.
Therefore, it is suggested that you urgently review your Superannuation accounts prior to 31st December 2012 to avoid the transfer of your “lost” accounts.