We have had a number of clients ask us recently whether they have to register for SuperStream (i.e. set up an electronic service address) for their SMSF in order to make Employer contributions to themselves from their own companies.
The short answer is "no". If you are essentially self-employed and paying superannuation to yourself, or are making Super Guarantee contributions (employer contributions) to an associate employee who is a member in your SMSF (e.g. spouse, in-laws etc), then you can make a direct payment to your SMSF bank account, rather than use SuperStream to make the contribution.
Example 1
You are a director of XYZ Consulting Pty Ltd. You also have a SMSF called The XYZ Family Superfund in which yourself and your spouse are members.
You earned $10,000 salary during the Jan-Mar 2016 quarter. XYZ Consulting Pty Ltd makes a SG Contribution of $950 (9.5% of ordinary time earnings) directly to the XYZ Family Superfund.
Your spouse also received $10,000 salary during the Jan-Mar 2016 quarter from XYZ Consulting Pty Ltd. XYZ Consulting Pty Ltd makes a SG Contribution of $950 (9.5% of ordinary time earnings) directly to the XYZ Family Superfund.
Since the only contributions to the fund are made from a related-party employer, there is no requirement to use an electronic service address.
Example 2
You are a director of XYZ Consulting Pty Ltd. You also have a SMSF called The XYZ Family Superfund in which yourself and your spouse are members.
You earned $10,000 salary during the Jan-Mar 2016 quarter. XYZ Consulting Pty Ltd makes a SG Contribution of $950 (9.5% of ordinary time earnings) directly to the XYZ Family Superfund.
Your spouse is an employee of a bank, ABC Bank Ltd. They received $10,000 salary during the Jan-Mar 2016 quarter. ABC Bank Ltd makes a SG Contribution of $950 (9.5% of ordinary time earnings) to the XYZ Family Superfund using SuperStream.
The non-related employer (ABC Bank Ltd) must use an electronic service address to make this contribution.
For more information about SuperStream exemptions, please visit this website.
If you need to register an electronic service address (ESA), the ATO has a list of a number of ESA providers that you can easily register with. Some of them provide the service for free.
Please note: Unless your SMSF is exempt from using SuperStream, you MUST register for an ESA and inform your employer of the ESA by 30th June 2016.
Small emloyers (19 or less employees) must start using SuperStream by 30th June 2016 (unless they only have associate employees with SMSFs, as per above example 1).