We love superannuation. But, for most people, thinking about it is a cure for insomnia.
Because super is money that you can’t access today (it’s locked away to provide for your future), it can be hard to find the motivation to deal with it.
Super doesn’t have to be boring. (And we’re not just saying that because we work in superannuation.)
Every little bit you do now can have a big influence on what your super balance looks like when you’re ready to retire.
Your super is invested in cool things (like tech companies and renewable energy)
Investment options named “Growth” and “Balanced” probably doesn’t spark joy. However, what’s in those investment options, while often shifting to provide the best return, can be fascinating.
You may hold shares in brands like Treasury Wine Estates, makers of Penfolds. You could be invested in tech giants like Apple, Google or Netflix.
Some things might surprise you, too. We hold investments in Tencent, a Chinese company that owns things like the videogames Fortnite and Minecraft as well as Soso.com, the world’s largest search engine.
Our commitment to investing responsibly is more than just the dedicated Socially Responsible option. We hold investments in a variety of solar companies and wind farms around Australia.
You’re invested in local stuff you use regularly
Investments can seem like an abstract concept. It’s money that goes out, does something, and then provides (hopefully) a good return.
A lot of investing is more local than you might realise, often in things you use regularly. For example, property investments in superannuation are very common. We’ll often invest in shopping centres, like Kawana Shoppingworld on the Sunshine Coast.
We’re also invested in Village Roadshow, which operates Sea World, Warner Bros. Movie World and Wet ‘n’ Wild.
Do a lot of flying? You’re likely to visit an airport that your super is invested in like the Gold Coast Airport.
Once you start digging into how your money is invested, you’d probably be surprised by where your money goes and how it grows.
It’s real money (and it’s yours)
Super is more than numbers on a statement that you get once a year or a line on your payslip.
This is real money that you’ll use in retirement. Just because you can’t access it today doesn’t mean that it’s not yours. You owe it to your future self to take an interest and make the most of your superannuation.
It’s really all about what kind of retirement you want and having the money to afford it.
The amount of money you have in retirement is the difference between a yearly trip to Europe and a yearly trip up (or down) the coast. If Europe is the plan, there are little things you can do now to grow your balance to afford it, like making additional contributions and selecting different investments.
There’s a lot of unclaimed money out there (and some of it could be yours)
Having duplicate accounts is pretty common. You had a job for a year in uni, they made super contributions, and you’ve completely forgotten the account existed.
Sometimes those accounts are closed, and the money is turned over to the ATO. Other times it’s left in an account, slowly being eaten away by fees because there are no new contributions.
Consolidating is an easy way to reduce duplicate fees and unwanted insurance. We can search the database and find any money you have with different funds or with the ATO at no cost to you.
It’s pretty easy and should only take a couple of minutes.
Balances for women are lower (and it’s really bad)
Sorry to bring you down, but this is really important and a little scary. Women retire with about half the balance of men, and they live an average of five years longer. This results in women living in poverty and ending up homeless during their golden years.
- 43% of women work part-time.
- Women working full-time earn around 18% less than men.
- Women take an average of 5 years out of the workforce to care for children.
There’s no single, simple solution to solving the issue. However, there are little things that women can do to help boost their balance. Things like:
- Making additional contributions.
- Consolidating into a single fund.
- Getting financial advice.
So, a lot of the things we already talked about.
The last one is probably the most overlooked. We want you to have a great retirement! We’re here to answer your questions and help you develop a plan for your future.
Members of Australian Catholic Superannuation can get personalised advice on ways to grow your superannuation balance from a financial adviser over-the-phone at no additional cost!
What should you do with your super?
Alright, these things might not fill you with joy, but they are pretty cool (and important to your financial future!)
Fortunately, we love super. We’re always out and about, visiting workplaces and answering questions about managing super. If you see us at your workplace, come and have a chat!
There are plenty of other ways to get your questions answered, including our local call centre or live chat through our website.