Do you know how much superannuation you have saved up? You should: according to research, people who know their exact balances are more likely to be in a high-performing super fund.
A survey by UMR for Industry Super Australia has found that just 26% of Australians know their exact super balance and regularly check in on its performance – but more than half of this group says they have at least an above-average fund, compared to just 28% of those who check it only once a year.
Industry Super Australia chief executive Bernie Dean says that if you stay engaged with your super, you’re more likely to make good financial decisions.
“Spending a little more time checking your super could spare many people a lifetime of economic pain caused by being stuck with a dud fund that robs you of hundreds of thousands from your retirement,” he said.
Getting engaged with super now will leave you with the best chance at a financially secure future.
Here are four top tips from experts on how to keep up with your super:
Check that you’re being paid everything you’re legally entitled to – unpaid super affects around three million people per year, with a total price tag of $5 billion.
Do you have multiple super accounts? Check using the ATO’s toolsto see if there is any lost or unclaimed super you’ve forgotten about. It’s still yours, and you can consolidate it into one account for maximum returns.
Make sure you’re with a top-performing super fund. Compare your fund with others out there, with a particular focus on investment returns after fees – research shows that being shackled to a bad fund can cost you up to $225,000 at retirement!
Think about putting a bit more into your super – just a $20 salary sacrifice per week can mean thousands more when you retire, and also gives you a tax break right away.