The ATO will notify their active fund of their election to consolidate and the active fund will have a period of time to obtain consent and facilitate the consolidation.
Existing employees can also benefit from this process by logging onto ATO online at any time to view a list of their superannuation accounts, choosing to consolidate and electing to have the ATO notify their active fund of their consolidation request.
Additionally, the payment standard prescribed by the Australian Payments Clearing Association (APCA) and international financial messaging standards prescribed by the International Organisation for Standardisation (ISO20022) will be used.
As outlined above, an enhanced enrolment process will commence during July — December 2014 to ensure new employees consider account consolidation at the time of beginning new employment.
As part of the process employees will be able to access a listing of all their superannuation accounts from ATO online to assist with exercising choice.
It also recommended that these standards should be compatible with the Standard Business Reporting (SBR) framework and provide for linked personal and financial data transmission.
SBR will be used as the platform to develop the taxonomy and message structures for superannuation transactions, along with the use of e Xtensible Business Reporting Language (XBRL) for exchanging information.
The Government will legislate to mandate the use of the new data and payment standards for superannuation transactions and reporting to Government in order to maximise the efficiencies.
The Government is mindful of the implementation issues the introduction of the data and e‑commerce standards raises for small employers and will continue to consult with employer groups on the best and most practical ways to achieve these objectives for small employers.
Consultation highlighted the large scale change required to support the introduction of data standards and electronic transactions for superannuation.
The implementation timeline for the data and e-commerce standards is as follows: The Government will continue to consult with relevant stakeholders on implementation issues.
This includes an estimated 5 million accounts recorded on the Lost Member Register.