The super long-term savings plan makes super sense.
Superannuation is a long-term investment plan initiated when you commence employment to help fund your retirement. Essentially it is a secure savings account that accumulates until you’re granted access when you retire.
As a compulsory Government initiative, super receives preferable tax treatment with many incentives to help grow your super assets beyond your employer’s obligatory contributions paid into your fund each year. For many of us, super will grow to be our largest asset and is highly worth taking an interest in, to understand and learn how to best invest in our future.
How it adds up
If you’re working, your employer is generally required to pay a minimum 9% of your salary into your super. Given that the government encourages you to save for retirement, there are definite tax advantages in making additional contributions to your super, whether they are paid in by your employer, your spouse or voluntary payments made by yourself or government co-contributions. From here your selected super fund invests the money in your account on your behalf. If you haven’t selected an investment strategy, your fund will automatically choose one for you.
Getting the advice of an experienced financial planner can assist you in determining the right investment choices based on your financial objectives, personal circumstance and attitude toward risk.
Will it be enough
As your personal retirement savings account, super is an important financial investment and deserves careful consideration. Obviously the earlier you commence saving super and the more contributions you make, the more money will be waiting for you when you retire.
It’s reported that relying on employer contributions alone may not be enough for retirement, so it pays to develop an interest in your super savings early.
Taking control of your super is easier than you may think
An iFinancial Intelligent Solutions planner can assist you in determining how much super will provide you with the retirement lifestyle you seek and create a plan to help you grow your super, whilst still allowing you to meet your current financial obligations.
We can help you locate and consolidate lost super, to ensure you are maximising every cent in preparation for your retirement.
Remember, how much super you have in retirement will depend to a large degree on the planning you do today.
Would a DIY super fund suit me?
Self-managed super funds or DIY super is becoming a popular and fast growing sector in the superannuation market, however they are not suited to everyone. Understanding how self-managed super works before moving away from traditional offerings is fundamental to ensure that you will have what you need when you retire.
Individuals or families looking for more control of their super investments, with lower fees, increased flexibility and effective tax strategies are making the switch to self-managed funds. It gives them the ability to pool their resources with other family members and can offer estate planning benefits too.
Our approach to self-managed super funds
As qualified, licensed advisors, iFinancial are experienced in determining whether DIY super is right for you. We are proficient in setting up self-managed superannuation funds and can advise which super fund best suits your needs, which assets should be included in your fund and we can develop the overall investment strategy for your self-managed fund.
With iFinancial Intelligent Solutions you will have access to good financial advice when you need it, be in control of your investments and have the ability to make informed decisions with our regular updates, news and ongoing advice.
Before making the self-managed switch
Given you will be in control of what may become your largest financial asset, you need to be confident that a self-managed super fund can meet your expectations and more importantly, achieve your financial goals.
Before making the switch, it is worth considering all sides to DIY.
- It’s no secret, establishing a self-managed super fund is time consuming and demands your attention
- As the trustee of your fund, there are legal and tax obligations that you will need to remain on top of and comply with
- You will need to be prepared for paperwork, as you are responsible for all administration and account keeping for the fund
- Having an awareness of products on the market and researching your investment options is essential
- There are ongoing operating costs and an advised fund start-up amount, so you will need financial guidance at the beginning
Good financial advice and administration services can help you manage your DIY super fund. Talk to an iFinancial expert if you need advice on whether DIY super is right for you, or to set up a self-managed super fund today.
Call us today on 1300 881 475 to arrange an obligation free consultation.