ATO issues update for employers on super stapling changes

Under the new laws, ATO deputy commissioner Ben Kelly said there is a requirement that new employees must be shown information about their existing super fund, if they have one, alongside any other advertising of information about alternative funds.

“This helps prevent employees from unintentionally or inadvertently opening new super accounts,” the ATO said.

“Superannuation software and onboarding providers are now prevented from advertising or promoting alternative super funds until they are also able to show information about any existing super accounts the employee may have so the employee can make an informed choice.”

The Tax Office noted that the changes do not affect how employers access the ATO’s systems.

However, Kelly said that where employers are partnered with or using payroll or onboarding software and wish to allow them to request stapling results on their behalf, they should ensure their service provider is authorised to do so via Access Manager.

The ATO said that requesting stapled super through the ATO can help to protect against fraud, as the ATO confirms a genuine employer-employee relationship before releasing information to protect privacy.

“Stapled super only works when the right checks are in place. Without proper verification, there is a real risk of fraud and super being misdirected,” Kelly said.

To help ensure that stapled fund requests are successful, the ATO said employers should establish the employment relationship early in the employee onboarding process by submitting a STP pay event or lodging a tax file number declaration.

“The quality of the information provided matters. Stapled fund requests can’t be completed where employee details don’t match ATO records,” Kelly said.

“Providing accurate and complete information helps us correctly match records and return stapled fund details to employers, so double-check with your employee that the details they’ve provided will match with ATO records.”

Employers using payroll or onboarding software should also confirm their provider is authorised to act on their behalf, the ATO advised.

“This helps ensure only legitimate and authorised requests and information provided to the ATO is accurate,” Kelly said.

During the 2024–25 income year, the ATO received 45,000 requests for superannuation information in which no employer-employee relationship was established.

“In these cases, the ATO advised they could not share the stapled super fund details, directly protecting workers’ superannuation information,” the ATO said.

The Tax Office said that since its introduction in 2021, super fund stapling has helped reduce the number of Australians holding multiple super accounts, a key driver of duplicate fees and insurance costs that can erode retirement savings.

ATO data has shown the proportion of people with a single super account has increased steadily in recent years, rising from 76 per cent in 2022 to 79 per cent in 2025, reinforcing a clear trend towards consolidation.

“Super stapling is working exactly as it was designed to, reducing duplicate accounts and helping people keep their super together as they change jobs,” Kelly said.

“For employers, the most important step is using the correct, ATO-authorised processes when requesting stapled super details, so employees receive the full benefit of the system.”