We’re completely serious.
Superannuation is one of those things on our to-do list that sits somewhere underneath ‘Do budget’ and before ‘Find local yoga class’. We know we need to address it and yet we keep putting it off. Our super decisions today won’t affect us until we retire, so there’s no rush, right? Right?
Except that’s why it is so important. Every decision we make about our super today will affect us when we retire. And by then, it’s too late. But I have some good news. You can sort out your super in just five minutes. There are just a few things you need to do and then you can forget about it again for a while, I promise.
The first step is to make yourself a cup of tea or coffee and sit down with your phone or computer. Here’s what you’re going to do:
– Find your super
– Roll it over into one account.
– Put some more in.
Here’s how to get it all done.
1. Find your super.
It is possible that for every casual job you held in high school and during uni, you have a different super account. And that’s not a good thing. You need to find it all and then roll it over into one account. If you’re after an industry super fund, I’ve heard good things about HESTA. It’s the only industry super fund dedicated to the health and community services industry and membership is 85 per cent female – so they understand what women need from their super.
2. Roll it over into one account.
Once you have found all your super or if you already know where your other accounts are, it’s time to roll it into one fund. Your chosen fund will tell you how to do it quickly and easily. Most funds now let you do this online.
You might want a second cup of tea or coffee while you do this step. If you have a few accounts, it will be so great to have it all sitting in one place.
3. Put some more in.
Now, talk to your employer about contributing an extra $20 per week into your super account. The reason you should get your employer to do it for you is because there is a tax benefit to paying it with gross income. You won’t miss $20 a week, but in the long run, it will make a huge difference to your super.
Also, consider making a contribution from your take home pay, perhaps with your tax return. If you earn less than $50,454 the government will make a co-contribution towards any voluntary contribution you make. The amount they co-contribute changes so talk to your super fund about the latest facts and figures.
And…your five minutes are up.
Easy, wasn’t it?
How do you look after your super?
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