What to do If the employee does not choose a Super Fund?

14 Apr 17

Employers must nominate a default fund to which the employee's SG contributions must be paid if the employee does not choose a fund. From 1 January 2014, employers must contribute to a MySuper product on behalf of employees who have not exercised choice.

The default fund must be a complying super fund and must offer minimum life insurance coverage as set out in the regulations. The minimum life insurance coverage that must be offered is as follows:

  • The amount of cover provided by a premium of at least $0.50 per week for those under age 56; or
  • Minimum life insurance coverage commensurate with their age range as detailed in the table below:


Age           Amount       
0 -   19 Nil
20 - 34 $50,000
35 - 39 $35,000
40 - 45 $20,000
45 - 49 $14,000
50 - 55 $ 7,000
56 or older Nil


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