The Federal Government will launch a direct mail campaign to promote the Small Business Superannuation Clearing House, with “the vast bulk of small business” to receive information about the service by the end of the year according to Federal Small Business Minister Senator Nick Sherry.
Asked by My Business how many letters the promotion will generate, the Minister said the campaign will see “certainly in the hundreds of thousands” of letters sent.
|The Small Business Superannuation Clearing House's rather obscure logo|
The Clearing House allows small businesses to send Medicare a lump sum of all the superannuation entitlements it owes its workers. Medicare then distributes the money owed to each individual employee's superannuation account, saving employers the trouble of several small transactions.
The direct mail campaign is designed to boost take-up of the service, which the Minister said has secured 5500 users since its 2010 launch and now provides payments for 38,000 employees. The Minister said $70 million in payments have been made with the service.
“The feedback from those that have used it has been very high and positive,” the Minister told My Business, citing 98% satisfaction ratings from internal research.
“We have never done any direct advertising for the service so getting the message out is the next phase.”
The Minister said he was not aware of the cost of the campaign.
The Small Business Superannuation Clearing House has been criticised by Shadow Small Business Minister Bruce Bilson for its low take-up and high operating costs. Bilson and Senator Matthias Cormann have proposed an alternate system whereby super payments are included along with PAYG tax instalments that small business already sends to the Australian Taxation Office, and say this arrangement will mean less paperwork for business owners.