Job change has impact
MARCH is popular for changing jobs, and employment specialists say this year is expected to see more activity than usual as the market shifts back to the job-seeker’s favour.
There are forecasts of a job-seeker surge in 2011 to match demand by c o m p a n i e s r e b u i l d i n g t h e i r workforces.
But changing jobs, hopefully for higher wages, also has financial impacts and involves careful planning.
‘‘ A new job is an ideal time to sort out your superannuation and it can make a big difference,’’ says Ian Silk, AustralianSuper’s chief executive.
‘‘ Check your employer’s default fund is right for you. Our research shows 57 per cent of people who change jobs end up in their employer’s default super fund,’’ he says. ‘‘ Compare it with other leading funds.
‘ A few percentage points difference in fees can wipe a staggering $ 100,000 or more off an average 25 year-old’s likely finance retirement balance.’’
Changing jobs is also a good time to consolidate super into one fund.
Also, check you are in the right investment option.
‘‘ Identify your risk profile to determine which strategy is appropriate,’’ Silk says. Research by recruiter Hudson Australia found 33 per cent of employers planned to lift their staff levels in the 2011 first quarter.