The Small Business Superannuation Clearing House (SBSCH) has introduced a bank account validation process for Self-Managed Super Funds (SMSF) starting from 15 March 2024
This validation checks if your employee’s SMSF Bank Account details match their SMSF records
If there is a mismatch, or the employee has not listed their bank account details, you’ll receive an invalid Super Fund Bank Details error on the SBSCH payment instruction.
This means that the SBSCH cannot accept payments to your employee’s SMSF.
If you receive this error, you need to:
1. Check with your employee that the fund bank account they have provided exactly matches what’s listed on the SMSF record against the Superannuation account.
2. If incorrect, or there are no details listed, a trustee or tax professional may need to update information in Online Services.
3. Update your employee’s SMSF bank details in SBSCH Employees, if your employee has provided updated SMSF bank account details.
4. Remove all payment amounts you’ve entered for employees with an invalid super fund bank details error.
5. Make sure your payment matches the new ‘Total to Pay’ amount.
6. Once the employee’s fund bank account matches what’s listed on the SMSF record you can submit a SBSCH payment instruction for that employee.
For more information, you can visit the Small Business Super Clearing House (SBSCH) website.
If you need further assistance, feel free to ask!
Credits
Sundaram Shanmugam
Smart SMSF Team
