Stapled Super Fund API

(When we say you and your, we mean you as the user of the stapled super fund API in your software.)

Description

From 1 November 2021, there's an extra step employers may need to take to comply with the choice of super fund rules. If a new employee doesn't choose a super fund, most employers will need to request the new employee's 'stapled super fund' details from us to avoid penalties.

A stapled super fund is an existing super account that is linked, or 'stapled', to an individual employee so that it follows them as they change jobs.

Employers must pay super contributions into one of the following:

• the super fund the new employee chooses
• the stapled super fund provided by the ATO if the new employee hasn't chosen a fund
• their default fund (or another fund that meets the choice of fund rules) if they cannot pay into the funds above.

When a new employee starts, employers need to:

• know if the new employee is eligible for choice of super fund – for example, employers don't need to offer choice to
  • temporary residents
  • employees covered by an enterprise agreement or workplace determination made before 1 January 2021
• offer the new employee a choice of super fund if they are eligible.

If a new employee doesn’t choose a fund, employers, or their authorised representatives need to:

• submit a tax file number (TFN) declaration or a Single Touch Payroll (STP) pay event to establish an employment relationship
• request the new employee’s stapled super fund details.

Employers may not be able to do this if they engage a contractor who is an employee for super guarantee purposes and they are unable to submit a TFN declaration or STP pay event. Employers can create the relationship through a secure mail lodgment, see Use cases below.

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What the stapled super fund API is for

The stapled super fund API is a service that supports you in asking us to identify any stapled fund for an employee who began employment from 1 November 2021.

The service enables employers to comply with their choice of fund obligations under section 32(c) of the Superannuation Guarantee (Administration) Act 1992.

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Service interactions

The service consists of two interactions:

1. Stapled super fund request, which enables a business user to submit for a single employee to determine their stapled super fund
   • if the employer or intermediary has had their access to make new requests removed, you will still be able to make an outcome request.
2. Outcome request, which enables you to obtain the outcome of a previously made stapled super fund request using the receipt number of the original request
   • historical request outcomes can also be viewed through ATO online services.
   • obtain an outcome not provided due to the original stapled super fund request timing out.

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Rate limit

Not applicable.

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API risk rating

4 - High risk

For more information, see API risk rating.

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Authentication

See: M2M client authentication

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Scopes

ato.super.stapledsuperfund.c,r

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Authorisation – intermediary relationship

The stapled super fund services that an intermediary can use on behalf of clients depend on the relationship with the client. The intermediary must have the appropriate authorisation for the interaction being performed on behalf of the employer recorded in ATO systems:

• A business intermediary must be appointed by a business in Access Manager to use the available services on their behalf.
• Tax agents and BAS agents must be appropriately linked to the employer at an account or client level to use the service on behalf of the employer.
• Payroll service providers must have an account level link created with the employer to use the service on behalf of the employer.

Use cases

See: Stapled super fund API - use cases

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Request stapled super fund – request and response conceptual structure

See: Stapled super fund API - request stapled super fund - request and response conceptual structure

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Request stapled super fund – outcome descriptions

The stapled super fund response may contain a request outcome with a reason code (see example value or schema of the 200 response for the stapled super fund resource). If so, there is a required action for each reason code. Use the information below to determine what this action is.

Reason Code 1: Unmatched

Description:

The information supplied didn’t match our records.

Action:

• Check the accuracy of the information you provided and resubmit if necessary.
• If the information you provided is accurate and doesn’t match our records, and the employee doesn’t provide a super choice, the employer can make super contributions to their default fund or to another fund that meets the choice of fund rules.

Reason Code 2: Response not available

Description:

We’re unable to provide you with the employee’s stapled super fund account.

Action:

• The employer can make super contributions to their employee’s chosen fund if their employee can provide their choice of fund details.
• If the employee can’t provide their choice of fund details, the employer should make super contributions to their default fund or to another fund that meets the choice of fund rules.

Reason Code 3: No relationship

Description:

We couldn’t confirm an employment relationship.

Action:

The employer needs to lodge a TFN declaration or STP pay event for their employee, before another stapled super fund request for this employee is submitted. For contractors, view ato.gov.au/stapledsuperfund.

Reason Code 4: Choice fund

Description:

The employee has an existing super choice.

Action:

The employer must make super contributions to the account provided.

Reason Code 5: Choice SMSF

Description:

The employee has an existing super choice that is an SMSF.

Action:

• The employer must make super contributions to the account provided.
• The employer will need to obtain the fund bank details and electronic service address from their employee, as the fund is a self-managed super fund (SMSF). The employer should contact us on 13 10 20 if you can’t get these details.

Reason Code 6: Stapled fund

Description:

The employee has a stapled super fund account.

Action:

The employer must make contributions to the account provided.

Reason Code 7: Stapled SMSF

Description:

The employee has a stapled super fund account that is an SMSF.

Action:

• The employer must make super contributions to the account provided.
• The employer will need to obtain the fund bank details and electronic service address from their employee, as the fund is a self-managed super fund (SMSF). Contact us on 13 10 20 if you can’t get these details.

Reason Code 8: Used default fund

Description:

The employee does not have a stapled super fund account.

Action:

The employer can make super contributions to their default fund or to another fund that meets the choice of fund rules.

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Response messages

For response messages specific to the stapled super fund API, see Stapled super fund API – response messages.

For response messages common to all the APIs available in our API catalogue, see Common response messages.

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Production requirements

Before you can request production access for this API, you must meet the requirements for production access.

Test scenarios

The stapled super fund API test scenarios are provided in the sandbox environment to help you in the development of your software.

We recommended testing for an optimal user experience.

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Using a stapled super fund request

Refer to the conditions of use and end user agreement.

For further information, refer to:

• ATO privacy policy
• myGovID Terms of use – Machine
• Relationship Authorisation Manager – Security

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Declarations

We require a declaration indicating the information contained within the request for stapled fund is true and correct. This declaration must be made by the sender (declarer).

To make a declaration, the sender must be aware of two things:

• the statement they are making
• that it becomes a declaration by them ‘signing’ it.

As a result, in every case that a declaration is required to accompany a transaction, the sender must have displayed to them:

• a specific statement or statements describing what they are about to declare
• an acknowledgment that the declaration is made by signing the statement in a particular way.

The sender must sign by actively confirming what constitutes their ‘signature’ by using a tick-box, send button or similar mechanism.

The wording of the declaration statement varies depending on the sender.

Employer or the authorised representative of the employer (not a tax or BAS agent)

If lodged by employer or the authorised representative of the employer (not a tax or BAS agent) for the purpose of requesting a stapled super fund on behalf of an employer:

I declare:

• I am the employer of the employee or I am authorised to complete and lodge this request for an employee’s stapled fund information with the Commissioner on behalf of the employer.  
• This request has been prepared in accordance with information supplied by the employee.
• The request is for the purposes of complying with the choice of fund requirements that relate to stapled funds.
• The information I have provided is true and correct.

Authorised tax or BAS agent

If lodged by an authorised agent (tax or BAS agent) for the purpose of requesting a stapled super fund on behalf of an employer:

I declare:

• This request has been prepared in accordance with the information provided by the entity whose ABN or WPN appears on this document and who is the employer of the employee.
• The entity has provided me with a declaration stating that the information provided to complete this request is true and correct and is for the purpose of complying with the choice of fund requirements that relate to stapled funds.
• I am authorised to complete and lodge this request for an employee’s stapled fund information with the Commissioner on behalf of the entity.

Payroll agents

Payroll agents use the Authorised tax or BAS agent declaration.

Payroll service providers

To work out which declaration a payroll service provider (PSP) uses in the Stapled super fund API, the PSP has to determine whether they need to register as a tax practitioner to carry out the services for the client.

• If the only service being provided by the PSP to the client is the Stapled super fund API, PSPs are not required to register as a tax practitioner. In that scenario the PSP would use the Employer or the authorised representative of the employer (not a tax or BAS agent) declaration. 
• If the PSP is providing services in addition to the Stapled super fund API to the client, then the PSP should check TPB Information Sheet TPB(I) 31/2016 Payroll service providers to see if those other services require the PSP to register as a tax practitioner. If the PSP is required to register as a tax practitioner to provide services to a client, in addition to the Stapled super fund API, then the PSP would use the Authorised tax or BAS agent declaration.

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