Protecting Your Super Package

On Monday 18 February, the ‘Protecting Your Super Package’ was passed by the Australian Parliament. The package introduces a number of changes that mostly affect accumulation superannuation products—like PSSap and ADF Super—and account based income streams—like CSCri. These changes are due to come into effect from 1 July 2019.

Here is a quick rundown of some of the key points from the ‘Protecting Your Super Package’. 


Most accounts with balances below $6,000 on the last day of a financial year will have certain fees and costs (generally, administration and investment related fees) capped at no more than 3% of the account balance for that year. In most circumstances, if you leave a super fund and close your account after 1 July 2019, you will no longer be charged an exit fee. Note: while this change also applies to some defined benefit schemes, CSC does not charge exit fees on any of its defined benefit schemes. 

Inactive low-balance accounts

If you have an ‘inactive low balance account’, your super will be transferred to the ATO as ‘unclaimed super’. Where possible, the ATO will consolidate this balance into an active account you hold with a super fund. 
You may have an ‘inactive low balance account’ if:

  • your account has a balance under $6,000; 
  • the fund hasn’t received any contributions into your account over a continuous 16 month period; and
  • you haven’t made any active changes to your account such as changing your investment option, insurance coverage or binding beneficiary nomination. 

We will contact you if there is a risk your account is or may become an ‘inactive low-balance account’ so that you have the opportunity to let us know you would like to remain a member if this is what you want to do.  


In most cases, if an account is deemed ‘inactive’ any insurance coverage will be cancelled—unless you actively let your super fund know in writing (for example, by email) that you want to keep your insurance despite your account being ‘inactive’. Generally speaking, an account will be deemed ‘inactive’ if the fund hasn’t received any contributions into the account over a continuous 16 month period.
Insurance cover must be cancelled on 1 July 2019 for any accounts that are deemed to have been ‘inactive’ for the 16 months leading up to this date. —i.e. if no contributions have been made to the account since 1 March 2018. NOTE: this change does not apply to certain accounts, including defined benefit accounts (such as PSS, and CSS), and accounts of ADF Super members. If we consider your account may become ‘inactive’ we will contact you so that you can let us know you would like to keep your insurance. 

At CSC, we are happy to support any measures that help maximise our member’s final retirement benefits and minimise costs. 

We strongly believe in the importance of being transparent about the fees we charge. As a profit-for-members super fund, our fees (including exit fees) are charged to members on a ‘cost-recovery’ basis, meaning we charge members no more than the amount it costs us to carry out a particular activity. 
The ‘Protecting Your Super’ changes were initially announced by Government as part of the 2018 budget, and we have been working through how and when we could implement these changes since this announcement—regardless of whether or not they ended up being passed by Parliament. 

Now that the changes have been passed by Parliament, we are working hard to implement them as quickly as possible and minimise any negative impact to our members.

We will keep you updated as we know more. In the meantime, we have published a list of frequently asked questions about the Protecting Your Super package. 

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