Superannuation is money set aside for your retirement. It is an important component of your remuneration as a Queensland public sector employee. For more information on superannuation, see the Moneysmart website.
Can I choose my superannuation fund?
If you are a core government employee who is not:
- a member of a QSuper Defined Benefit scheme or
- a member of the Judges’ pension scheme or the Governor’s pension scheme
you can choose the fund into which your employer and any compulsory employee contributions are paid.
QSuper is the Queensland Government’s default superannuation fund. If you are a new core government employee and you do not nominate a fund when completing your payroll documentation, your superannuation contributions will be paid into a QSuper account in your name.
If your employer allows you to choose your fund, you can exercise this choice at any time – ask your employer for a superannuation standard choice form. Note your employer is only required to accept one standard choice form from you every 12 months.
If you are not a core government employee, consult your employer about whether QSuper or another fund is your employer’s default fund and whether your employer allows you to choose your fund.
Your superannuation contributions must be paid into:
- a complying APRA regulated superannuation fund
- a complying self-managed superannuation fund or
- a retirement savings account.
Before you choose the fund into which your superannuation contributions will be paid into, you may wish to enquire about or compare:
- insurance coverage and premiums
- administration and management fees
- investment options, investment objectives and investment performance and
- other services
of your existing and/or new fund or account.
Before choosing another fund, you may wish to consider whether you need financial advice.
What are the Queensland Government’s superannuation arrangements for its employees?
Most employees must make a default compulsory contribution of 5% of their superannuable salary into their fund, for which their employer will contribute 12.75% of the employee’s superannuable salary.
Please note, Queensland police arrangements are different based on the requirement for most police to retire at age 60.
You can elect to reduce the rate of your compulsory employee contribution, but your employer contribution will be reduced as well. You should consider whether you need to obtain financial advice before you reduce your employee contribution.
If your employer’s contribution is less than the superannuation guarantee amount (currently 9.5% of ordinary time earnings) your employer’s contribution will be topped up to comply with superannuation guarantee requirements.
If your standard employer contributions are based on superannuation guarantee requirements, you do not need to make employee contributions.
Talk with your employer
Talk with your employer’s human resources area if you:
- are a core government employee and you want to exercise choice of fund, you will need a superannuation standard choice form
- are not a core government employee, and you want to know if QSuper or another fund is your employer’s default fund, or whether your employer offers choice of fund
- need to know whether you must make compulsory employee contributions into your fund (if your letter of appointment does not contain this information), and/or what the default rate of employee and employer contributions are
- must make a compulsory employee contribution and you want to reduce your contribution rate or you want to know what your options are
- want to know what your options are if you are a higher income earner and your employer contributions mean you are likely to exceed your concessional contributions cap.
Note your employer is legally prohibited from providing you with personal financial advice.