The concept of 'total superannuation balance', which commenced from 30 June 2017, is a way to value the member's total super interests on a given date.
The total superannuation balance is relevant when working out the member's eligibility for:
- the unused concessional contributions cap carry-forward
- the non-concessional contributions cap and the two-year or three-year bring-forward period
- the government co-contribution
- the tax offset for spouse contributions
- whether the member can use the segregated assets method to calculate exempt current pension income for SMSF trustees
Calculation of total superannuation balance
Your total superannuation balance is the sum of:
- the accumulation phase value of your superannuation interests
- if you have a transfer balance account, its current balance (but if you receive an account-based pension the balance is adjusted to reflect the current value of that pension)
- any rolled over superannuation benefits not reflected in your accumulation phase value or balance of your transfer balance account (generally this would be a roll-over that has not yet been allocated to you by the destination fund).
- In certain circumstances, the outstanding balance belonging to a limited recourse borrowing arrangement (LRBA) in an SMSF (or other regulated super fund with less than 5 members) you entered into from 1 July 2018, if either:
- the LRBA is with an associate of the fund, or
- you have satisfied a condition of release with a nil cashing restriction
This sum is reduced by the sum of any structured settlement contributions made to your super funds.
What updates has Class made to accommodate this change?
Additional data filters in the Member Console > Total Super Balance
More filters have been added in Member Console to assist in identifying members who have:
Ability to record the adjustments to the member's TSB in Class and the member's external super balances outside Class
Contribution Cap screen has been updated to allow users to enter the member's TSB outside Class from 30 June 2017 onward. TSB balance in Class will be calculated automatically and displays in the contribution cap screen.
Track the member's TSB in the member console.
Member's TSB is now available at the business and fund level member console.
- ATO Website: Total superannuation balance
- ATO Website (FAQ): Total super balance
- Law Companion Guidelines (Final): LCG 2016/12: Superannuation reform: total superannuation balance