How to Claim Super When Leaving Australia

Australia’s superannuation system is a compulsory retirement savings program where employers contribute a portion of an individual’s earnings into a superannuation fund. Temporary residents who have worked in Australia and are now departing permanently can access these accumulated funds through the Departing Australia Superannuation Payment (DASP).

Eligibility for Claiming Super

To qualify for a Departing Australia Superannuation Payment (DASP), an individual must meet specific criteria. Superannuation must have been accumulated while working in Australia on a temporary visa that has since ceased (expired or cancelled). Applicants must have already departed Australia and not hold any other active Australian visa.

Australian citizens, permanent residents, and most New Zealand citizens are generally not eligible for DASP, as their superannuation is intended for retirement. New Zealand citizens may transfer their Australian superannuation to a KiwiSaver scheme if leaving permanently. Common temporary visas that qualify for DASP include student visas, working holiday visas (subclass 417 and 462), and various skilled temporary visas. Diplomatic visas may not have superannuation entitlements.

Information and Documents Required for Application

Gathering all necessary information and documents is an essential preparatory step before applying for DASP. The application demands specific personal, visa, and superannuation fund details for accurate processing.

Required personal information includes full name, date of birth, passport number, country of passport, and a current email address. Providing an Australian Tax File Number (TFN) is optional but highly advisable, as it can significantly impact the tax rate applied to the DASP payment. Essential Australian visa details include visa type, subclass, grant number, expiry date, and date of arrival in Australia. Applicants must also specify their exact departure date from Australia.

Comprehensive superannuation fund details are also needed, including the Australian Business Number (ABN) for each fund and the member account number. The DASP online application system can help locate funds, especially if a TFN is provided. For superannuation balances of $5,000 or more, some superannuation funds may require certified copies of identification documents, such as a passport, and potentially a Certificate of Immigration Status from the Department of Home Affairs.

The DASP Application Process

The most efficient method for submitting a DASP application is through the online DASP application system, accessible via the Australian Taxation Office (ATO) website. This online portal allows for electronic verification of identity and visa status with the Department of Home Affairs. The system also helps locate superannuation accounts, including any funds that may have been transferred to the ATO as unclaimed superannuation money.

Applicants will input their personal, visa, and superannuation fund details into the online system. While an application can be started and saved while still in Australia, it can only be formally submitted after the individual has departed the country and their temporary visa has ceased. For those unable to use the online system, a paper application form (NAT 7204 for super fund held money or NAT 74880 for ATO-held money) is available and should be sent directly to the relevant superannuation fund or the ATO.

After submission, applicants typically receive a confirmation of receipt. The processing time for a DASP application generally takes up to 28 days from the date a complete application is received. Delays can occur if the application is incomplete or if additional supporting documents are required. Payments are commonly made via electronic funds transfer to an Australian bank account, an Australian dollar cheque, or an international money transfer, with direct deposits to an Australian bank account often being the quickest method. If an applicant has superannuation with multiple funds, the online DASP system allows for a single application to cover all funds.

Taxation of DASP Payments

Departing Australia Superannuation Payments are subject to taxation, with the superannuation fund generally withholding the applicable tax before releasing the payment. The tax treatment varies based on the components of the superannuation balance and the type of temporary visa held. Superannuation balances are typically comprised of a tax-free component and a taxable component, which may include both taxed and untaxed elements.

The tax-free component of a DASP payment is not subject to tax. The taxable component incurs a withholding tax. For individuals who have never held a Working Holiday Maker (WHM) visa, the general DASP ordinary tax rates apply: 35% for the taxed element and 45% for the untaxed element. For those who have held a WHM visa (subclass 417 or 462), a higher DASP WHM tax rate of 65% applies to both the taxed and untaxed elements. If an individual held both a WHM visa and another type of visa, the WHM tax rate will generally apply to the entire payment if it includes contributions made while holding the WHM visa.

The Tax File Number (TFN) plays a role in the tax rate applied; while providing it is optional, its absence can lead to a higher tax rate. The superannuation fund processing the DASP is responsible for calculating and withholding the correct amount of tax. This withheld tax is generally considered the final tax obligation on the superannuation payment, meaning the DASP does not typically need to be included in an Australian income tax return. The fund is required to issue a DASP payment summary within 14 days of making the payment, detailing the amount withheld.