WA Super News
WA Super now accepting KiwiSaver transfers - Media release
Australian superannuation fund WA Super is thrilled to announce they will accept eligible contributions transferred from KiwiSaver accounts.
The much awaited announcement follows the Trans-Tasman Portability scheme coming into effect in July of 2013. The portability scheme allows for migrating New Zealand members to transfer their KiwiSaver funds to an APRA (Australian Prudential Regulation Authority) approved, complying fund.
WA Super’s offering will mean individuals can transfer all of their contributions to the Australian based fund, including accumulated tax credits, and the KiwiSaver initial kick start bonus of $1000.
Additionally, the transferred amount will be exempt from tax at the point of exit and entry, providing the amount falls within the industry regulatory contribution cap of $180,000 per annum. The contributions are also tax-free at time of approved access and withdrawal.
Whist the scheme allowing Australian Funds to accept the transfer from New Zealand has been live since 2013, until now there doesn’t appear to be any Australian Superannuation Fund promoting this option in their service offerings.
WA Super CEO, John McNally said: “The announcement of WA Super accepting funds transferred from KiwiSaver accounts is great news for New Zealanders who have or who are planning to settle in Australia.
“Feedback is clear, and the need for such action has certainly been identified by both New Zealanders migrating to Australia and within the industry’s media bodies. At WA Super, we pride ourselves on service offering, and as a result we are thrilled to offer this opportunity to support an already established Kiwi division of the market,” added Mr McNally.
According to the Department of Immigration and Border Protection 52,012 New Zealand citizens came to Australia as permanent and long-term arrivals in the 2012-13 financial year. Of these 41,230 arrived as permanent settlers and 10 782 were long-term arrivals.
For the transaction to comply with the Trans-Tasman Portability Scheme, customers must transfer the full amount from their KiwiSaver account.
The portability scheme also does not allow for these funds to be transferred again should the individual relocate to a third country.