Super Fund Choice & Stapling

Since stapling came in, you cannot just default a new worker into the industry fund the award names — there is an order you must follow, and getting it wrong creates a choice shortfall on top of the SGC. Here is the order, the onboarding steps, and what actually matters when comparing funds.‍‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‍

The order: choice → stapled → default

For a new worker, super follows a strict sequence:

Employee choice. Offer the ATO Superannuation Standard Choice form. If they nominate a fund, pay there.
Stapled fund. If they do not choose, you must request their stapled fund from the ATO and pay into it — even if your award or EBA names a default industry fund. A "stapled" fund is the account already linked to the worker on ATO systems; it follows them job to job.
Default fund. Only if the worker does not choose and the ATO returns no stapled fund do you pay into your business default (often the award or EBA industry fund — Cbus, or BUSSQ in QLD building and construction).

Before November 2021 you could send "no choice" workers straight to the default. Now stapling inserts that middle step — and skipping it (contributing to the wrong fund when a stapled fund existed) can trigger a choice shortfall penalty on top of any SGC. (See Superannuation Guarantee.)

How to request a stapled fund

You request it through ATO Online services for business (or integrated payroll/STP software):

Establish the employment relationship first — lodge a TFN declaration (via the new-employee commencement form) or an STP pay event identifying the worker.
In Online services, go to Employees → Employee super account → Request.
Enter the worker's TFN (or exemption code), name, date of birth, and address.
Read and sign the declaration; you can request several employees at once.
The stapled-fund result usually appears within minutes (allow up to 24 hours).

Pay SG to that stapled fund until the worker chooses another — and once they choose, you have about two months to redirect contributions. Stapling does not remove your duty to maintain a complying default fund for the no-stapled-fund case.

Construction industry funds

Several funds are historically associated with the industry — Cbus (national construction), BUSSQ (QLD building and construction), and others that have merged over time. They often align their fees, default insurance and communications with the way tradies work, which is one reason awards name them as defaults. A worker is not locked to a sector fund, though — anyone can choose any complying fund.

We do not rank or recommend specific super funds — fund performance changes constantly and comparing funds is financial product advice. Use the independent ATO tool below, and get personal advice for your situation.

Comparing funds with YourSuper

The ATO's YourSuper comparison tool is the neutral starting point:

It covers MySuper (default) products only.
It ranks them by fees and net returns (after fees and costs) over a rolling 7-year period, and shows whether each passed the APRA performance test.
You can compare up to four products side by side against a reference balance (around $50,000); via myGov you get a personalised version using your real balance and age.

What actually matters for a tradie:

Net long-term returns (5–10 years after fees), not last year's headline.
Total annual fees (dollars and %) for a balance like yours.
APRA performance-test pass — persistent failure is a red flag.
Investment risk and how often negative years are likely.
Insurance — YourSuper does not fully compare it, so if you rely on death/TPD or income protection (especially for high-risk trade work), review the fund's insurance directly before switching, so you do not lose cover you need.

Common mistakes

Defaulting a new worker into the award fund without checking for a stapled fund.
Missing the two-month window to redirect after a worker chooses.
Chasing last year's top return instead of long-term net returns and fees.
Switching funds and unknowingly dropping valuable insurance cover.

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