In the 2018-19 Budget, the Australian Government announced the ‘Protecting your Super’ reforms which will be coming into effect on 1 July 2019. The aim of these reforms is to protect Australian’s retirement savings from being worn down by fees and insurance premiums.

To help you gain a quick understanding of whether you may be impacted by these changes, we’ve put together our 3 key takeaways from these reforms:


1. Insurance cover will be removed from inactive super accounts that have had no contributions for 16 months or more. 

If this applies to you, and you have a need for this insurance, you are able to notify your super fund to keep your insurance cover in place or you can make a contribution to your account.


2. Accounts that have less than $6,000 in super, and have been inactive for 16 months, will be transferred to the Australian Taxation Office (ATO). 

If this applies to you, the ATO will merge this account with your other active super accounts, or if you don’t have another active account your funds will be held by the ATO.


3. A 3% cap will be applied on administration and investment fees for account balances of less than $6,000. There will also be a ban on exit fees for accounts of any size.


If these reforms affect you, and you wish to maintain the cover you currently have, you must contact your provider to opt-in. If you’re unsure whether you are affected, or you’d like to use this opportunity to review your superannuation plans and ensure they’re still aligned with your retirement goals, please get in touch with us on 1300 850 757 or email us at


The information and any advice in this article does not take into account your personal objectives, financial situation or needs and so you should consider its appropriateness having regard to these factors before acting on it. When considering whether to acquire a financial product, before making any decision, you should obtain the relevant product disclosure statement.