The Trans Tasman Retirement Portability Scheme has now been passed as part of the Superannuation Legislation Amendment (New Zealand Arrangement) Bill 2012 and will be enacted as of 1st July, 2013. It will permit the consolidation of retirement savings for movements between Australia and New Zealand.
The 30th anniversary of the Closer Economic Relations Trade Agreement with New Zealand is close. The portability scheme is another step towards a single economic market.
Unfortunately, self managed super funds have been excluded from the provisions of the arrangement. Retirement savings can be transferred between APRA-regulated superannuation funds and Kiwi Saver accounts. Hopefully, this undesirable outcome will be corrected in the future. Senator Cormann said (in the second reading of the legislation) that "the exclusion of self-managed superannuation funds from the agreement does concern us. However, given the agreement in this form was signed by New Zealand, we will support the legislation. A future coalition government will consider an expansion of the agreement at a future time to include self- managed superannuation funds, in consultation with our friends in New Zealand."
Since this arrangement is voluntary and the member can control timing, there is going to be a need for some evaluation calculators. This is an area that NetActuary will develop those calculators.
The NetActuary Team