While its true, you can never start contributing to superannuation too early’, it is also true it is never too late to start contributing to super.
This is despite the fact that many Australia’s feel they have missed the boat in regard to superannuation. That they should have started saving years earlier and that as a result, that it is too late for them to really bother.
This is not the case.
The Federal Government has put in place specific strategies to help older Australians, who are nearing the end of their working lives, boost their superannuation savings. They might seem complicated at first glance, but we can help you choose which are most suitable for your situation.
This is important because it is never too late to start boosting your superannuation savings and it will make a big difference in retirement.
Typically, I try to get clients who don’t have much superannuation, to just focus on getting $100,000 into superannuation. Why $100,000? Well its because for most people this is an achievable amount and because the numbers are simple to remember.
For every $100,000 you have in superannuation, we believe conservatively, that we can generate at least 6% or $6,000 a year net of tax and we can arrange for this amount to be paid to you as an extra $500 a month.
Typically, it won’t make much difference to your old age pension entitlements but that extra $500 tax free every month, will make a big difference to your quality of life through retirement.
So you already have $100,000 in superannuation savings, well let’s take control of it and try to make it $200,000 by the time you retire. Remember, using the 6% rule, we will be able to generate for you about $12,000 in income and that will mean an extra $1000 a month throughout your retirement.
Now for most of our clients, we achieve returns well above 6% but we still use 6% as a benchmark because we are so confident we will achieve it and because its an easy number for clients to keep in their heads.
So if you are over fifty-five and concerned about how you’re going to manage in retirement, you need to arrange a free first interview and let us explain how we can help you to take control of your superannuation and make it work for you through retirement.