Regardless of your age, superannuation (super) forms the core of your financial stability upon retirement. Ensuring your super is structured correctly is imperative to both your working and retired life. We have access to a range of products and can find a super fund to suit your needs now and into the future.
What is Superannuation?
Superannuation, most commonly known as super, refers to a fund that is specifically established with the purpose of accumulating savings to be used during retirement. Super funds are established as a type of trust fund with a trustee managing the fund who is regulated by government bodies. Your super fund is generally restricted from being withdrawn until you have reached your preservation age.
Superannuation attracts special tax treatment and therefore having the right knowledge about the management of your super can provide significant benefits over the course of your working life.
Generally, as an employee, your employer is obligated to put a percentage of your annual salary (currently 9.5%) into your super on your behalf. This is known as Superannuation Guarantee Contribution (SGC). Deposits into super are known as contributions and these can be made from either your pre-tax income (concessional contributions) or your post-tax income (non-concessional contributions). There are caps on both forms of contributions which vary based on your age.
Benefits of super:
- Your super fund invests your super to provide the opportunity to grow over time
- Earnings in super are taxed at 15% which is lower than the average marginal tax rate
- Withdrawing money after the age of 60 is tax free
- Tax treatments vary on lump sum payments based on the size of the benefit and the age and service period of the member
- Insurance premiums may be paid from your pre-tax salary providing a tax benefit
How can we assist?
Our financial advisers can assist you in better understanding your situation to make the most of your super. We can help you to understand ways you could reduce your tax by taking advantage of super contribution options. Depending on your situation, we can also help you with a strategy for the transition into retirement once you reach your preservation age.
What we can offer
Our professionals can provide superannuation advice to ensure you are on track for a comfortable retirement. We look at your entire situation to see what ability you have to make additional contributions and grow your balance through investment. Contact one of our specialists today to see how you can prepare for the future.