- Your super
- If you've left the Telstra Group and you're working for a new employer
If you're taking a break
- check your Centrelink entitlements and any waiting periods
- use our retirement income projector to see how a career break could affect your super balance
- review your insurance
- look into eligibility for spouse contributions and government co-contributions
If you're retiring
- if you're about to turn 65, you may want to see if you can bring your redundancy forward before your birthday because of possible tax advantages
- use our retirement income projector to review an estimate of your possible final account balance
- think about how you will fund your retirement
- look into eligibility for Centrelink entitlements such as the Age Pension
- review your income options (including a RetireAccess income stream)
Other financial considerations
- review your payout – do you understand the different components of the payment?
- set up a budget
- assess your finances – do you have debts to pay off? What's your long term financial plan?
Things to do now
Your redundancy payment is a limited amount, so making the most of this payment is important. Here are some tips to help you:
Park your funds
While it may be tempting to spend some of your redundancy payment on paying off debts or purchasing new items, you should remain as financially flexible as possible during this period of transition, while you consider the next steps in your life. Consider placing unused leave, long service leave and tax-free redundancy payments into a cash management account that offers a regular payment facility (this acts like income). It's also important to understand how your payment will be taxed.
Find out more about the taxation of redundancy payments.
Set a budget
Preparing a budget will give you an idea of the cash reserves you're likely to need in the coming months. Use our Budget planner and remember to take into account the length of time it may take you to find new employment and include any entitlements to Centrelink payments you may receive.
Get the right advice
Getting advice early on is important. TelstraSuper Financial Planning has a team of phone based Advisers who can provide you with general and simple personal advice over the phone or more comprehensive personal advice with the aim of developing a financial strategy suited to your needs. To discuss your advice needs, please call 1300 033 166 or request a call online.
Find out about Centrelink payments
You may be eligible to receive Centrelink income assistance. Waiting periods may apply, so you should contact Centrelink as soon as possible to get the right information. Contact Centrelink online or call 13 28 50 (Employment Services) or 13 23 00 (Retirement Services).
Review your insurance within 30 days
If you’ve been made redundant from Telstra or a Telstra Group associated employer, your super account balance and any insurance cover you have will be transferred to a TelstraSuper Personal Plus account. Death & TPD cover held in your account will be retained in your new TelstraSuper Personal Plus account† , however new premium rates will apply. You’ll need to pay for this insurance cover and the premium will be based on a weekly unitised rate. This cover will decrease as you get older. Any voluntary cover that is transferred will be based on the applicable TelstraSuper Personal Plus voluntary cover rates.
If you’re under 25 years or have an account balance that is less than $6,000, you’ll be required to complete an Opt-in Member paid default insurance cover form in order for your cover to transfer into the new arrangement and retain your cover. If you’ve previously completed the Opt-in form or otherwise made an election, this won’t be required.
TelstraSuper Corporate Plus, TelstraSuper Division 5 and Sensis Super Plus Defined Benefit members with existing Income Protection Cover will have that cover transferred‡ to TelstraSuper Personal Plus. For the cover to be retained, you need to have:
- commenced new employment as a permanent employee and provided TelstraSuper with the Continuing Income Protection form within 120 days of you leaving your previous Telstra Group employer, and
- received a Superannuation Guarantee (SG) contribution from your new employer into your new TelstraSuper Personal Plus account within 180 days of you leaving your previous Telstra Group employer, and
- made an election to opt-in, if applicable (see above).
Eligible members transferring from TelstraSuper Division 2 can apply for Income Protection Cover, as outlined above.
† Subject to the ‘active employment’ requirements contained in the relevant insurance policy.
‡ Subject to the At Work Requirements and other eligibility criteria and Exclusions contained in the Policy.
For detailed information on what happens to your insurance cover when you leave your employer, read the TelstraSuper Personal Plus PDS and Insurance Guide.
Things to do within 60 days
Employee Share Ownership Plan (Telstra employees only)
If you have Telstra shares under the Employee Share Ownership Plan, it's up to you to contact the share registry Link Market Services and provide instructions for your shares. You have 60 days to provide instructions regarding your shares when you finish employment with Telstra.