With just five per cent of Australians confident they will have more than enough savings for retirement according to the latest MLC Wealth Sentiment Survey, it’s more important than ever for Australians to ramp up their superannuation savings.
As part of MoneySmart Week, NAB has devised three simple steps people can take now to help meet their retirement goals.
General Manager of NAB Financial Planning, Paul Fog said: “It is possible to kick start your super and make a difference in just one week by focusing on getting the basics right.”
“The most important thing to remember is that planning ahead, and setting aside even a small amount extra on a regular basis, can make a big difference to your retirement down the track.”
Top tips for kick starting your super in just one week:
1. Consolidate your super into the right fund
Many people have multiple super funds for each job they’ve held, which is ineffective and often expensive. Consolidating your super savings into one fund which meets your goals and objectives will prevent you paying extra fees and make it easier to keep track of your assets.
2. Track down lost super
Australians often lose track of superannuation when they change jobs. Using the ATO’s SuperSeeker website to search for any unclaimed super is an easy way to track down savings that are rightfully yours, and from there you can contact the relevant fund to have your savings moved into your new single super account.
3. Set a plan to start actively saving for retirement
Setting a plan to start putting away even a small amount of money regularly can make all the difference at retirement time. For example, to save on tax and top up your super consider salary sacrificing funds in a pre-tax contribution. Alternatively, if you earn under $49,488 pa you could look at making a non-concessional after-tax contribution to your fund to qualify for the federal government’s co-contribution scheme.
NAB is celebrating MoneySmart Week with a series of articles about what we are doing to improve financial literacy and help Australians have a healthy relationship with money.
NAB is a Gold Partner of MoneySmart Week, a not-for-profit initiative that promotes the importance of financial literacy – http://moneysmartweek.org.au/