IN YOUR 30S

EX­PERT TIP Tim New­man, ING Di­rect

Money Magazine Australia - - INVESTING -

1 Make sure you’re in the right fund. In most cases your su­per is in­vested in a fund cho­sen by your em­ployer (and in a lot of cases you’ll be in­vested in mul­ti­ple funds). Check how much you’re pay­ing in fees, and whether your cur­rent fund of­fers the op­tions you need. If you’re not sure where your money is be­ing held, go to my.gov.au to search where your su­per is cur­rently in­vested. As an ex­tra step, check which in­vest­ment op­tion you’re in­vested in. Most su­per funds of­fer a range of op­tions with dif­fer­ent lev­els of risk in­volved. Gen­er­ally speak­ing, the riskier the op­tion then the bet­ter the chance for po­ten­tially higher re­turns. And if you’re turn­ing 30, you’re still a fair way from re­tir­ing and there­fore have plenty of time to take ad­van­tage of higher re­turn but more volatile in­vest­ments.

2 Top up your su­per if you can. Con­sider mak­ing a per­sonal con­tri­bu­tion. If you’re look­ing to min­imise the amount of tax you pay, you could con­sider salary sac­ri­fic­ing to help re­duce your tax­able in­come.

3

Get your goals in or­der. You should start mak­ing su­per a pri­or­ity. It helps to have some­thing to aim for, so set­ting your­self a goal to achieve at re­tire­ment is the best way to mo­ti­vate your­self to in­vest more of your time (and money) into su­per.

4

As you get older and start ac­cu­mu­lat­ing as­sets (like prop­erty), con­sider insurance and its im­por­tance in pro­tect­ing not only your­self but those who de­pend on you for fi­nan­cial sup­port.

5

Con­sider ad­vice. Let’s not for­get the im­por­tant role that ad­vice can play in your fu­ture. Be­com­ing fi­nan­cially savvy is one thing but tak­ing the time to plan out your fu­ture is an­other. That’s where a fi­nan­cial ad­viser can help you make a plan and stick with it.

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