The Gillard Government will this week launch a major mailout campaign to build on the success of the Superannuation Clearing House facility for small businesses.

Letters will begin going out tomorrow to more than 680,000 small businesses to let them know about how they could be taking advantage of the free and simple way of making superannuation contributions.

Human Services Minister, Tanya Plibersek MP, said the clearing house service provided through Medicare is proving more popular with small businesses each day.

Employers are finding the service a real time saver and take-up by them has increased rapidly since it began in July last year, Ms Plibersek said.

Instead of paying super to multiple funds, employers pay their employee contributions to the Clearing House and it then directs the money to the relevant funds.

"Registering online takes only a few minutes and employers receive their login details almost immediately. From there, they can keep using the Clearing House to quickly and efficiently make their superannuation contributions, Ms Plibersek said.

Minister for Small Business, Senator Nick Sherry, said the service is available to businesses with fewer than 20 employees.

In the first part of the mail out, some 63,000 small businesses in Tasmania, South Australia, and the Northern Territory will receive letters, Senator Sherry said.

Over the next four months, letters will be sent to a further 620,000 small businesses across the country.

This Government initiative is directly helping ease the red tape burden on small businesses and the mail out will help make a large portion of our small business community aware of this excellent service, Senator Sherry said.

More than $70 million in superannuation contributions have been made since the clearing house was introduced on 1 July last year.

More than 123,000 superannuation contributions have been made using the clearing house on behalf of more than 38,000 employees, Senator Sherry said.

The Minister for Superannuation, Bill Shorten MP, said the Small Business Superannuation Clearing House was an efficient and cost-effective way of helping small businesses with their superannuation contributions.

The cost to the Budget is $16 million over three years and for that we get a system with a satisfaction rating among small business employers of almost 100 per cent, Mr Shorten said.

A recent survey of businesses that use the Clearing House found 90% of small businesses agreed or strongly agreed the service reduced red tape involved in making superannuation contributions.

"According to the survey, 98% of Clearing House users were satisfied or extremely satisfied with the service.

Some 99% said they would recommend the service to other small businesses, and 96% agreed or strongly agreed it saves them time.

The survey of businesses which use the service also found 98% of them agreed or strongly agreed the payment process was clear and easy to understand, Mr Shorten said.

To register for the service visit www.medicareaustralia.gov.au/super

Small Business Superannuation Clearing House uptake as at
14 August 2011

State Registered employers

Registered employees

Amounts received and paid

NSW 1,710 11,464 $22,456,248
VIC 1,138 7,325 $13,639,458
QLD 1,129 7,962 $12,452,169
WA 998 7,626 $14,898,871
SA 284 1,717 $2,792,491
TAS 138 898 $1,221,860
ACT 141 857 $1,931,727
NT 66 488 $711,322
TOTAL 5,604 38,337 $70,104,146

Media contacts: Minister Pliberseks office, Simon Crittle 0466 773 531; Minister Sherrys office, Joe Scavo 0413 800 757; Minister Shortens office, Shannon Walker 0414 694 476