5 do these things now
…AND YOU CAN FORGET ABOUT SUPERANNUATION (FOR A WHILE)
With the average age of retirement continuing to rise, you’d be forgiven for putting super in the “I’ll think about it later” folder. We’re assuming you’ve already rolled all your random super accounts into one. If not, time to make some calls. We’ll wait here... Done? Great. Here’s what else you should be doing.
10 minutes: If you’ve got
“Read your super statement carefully,” says Robinson. “Look at your balance and then find a super calculator online and see if you’ll have enough by the time you retire. You may want to start adding a little more from your own pocket if you think you might fall short.” Don’t understand your statement? Call your fund for advice.
20 minutes: If you’ve got
Use a comparison website, such as Ratecity (ratecity.com.au) or Canstar Cannex (canstar.com.au), to see how your fund compares to others. You could be paying more than you need to in fees. If so, look for a new fund.
30 minutes: If you’ve got
Set up a voluntary contribution. Relying on your employer’s contributions isn’t enough, says Debby Blakey, CEO of super fund HESTA. Setting aside a little more each week will bulk out your savings. “For example, if you’re 36 and you add $20 a week to your super fund, you’ll end up with an extra $59,000 when you retire,” she says.
1 hour: If you’ve got
Make an appointment with a financial planner to look at your current fund, says Robinson. “They can tell you if the investments your fund is making are sound or not. If you’re young, you generally want a fund that’s quite risky so that you can make some serious money (and if the risks don’t pay off, there’s still time to recoup costs).”
2 hours: If you’ve got
Look into self-managed superannuation if you have a lot of super. With a self-managed super fund you can invest in, say, a house and get a higher return. “It’s really no more work than having shares or an investment property,” says Gallego. “You just need to keep records such as bills and dividend statements. The fund is audited to make sure there are no breaches of law (like someone taking money from the account before retirement).”