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2) Hold a garage sale. Turn trash into treasure.
No spare cash? Look around your house for old
furniture, sporting goods and electrical items. Put the proceeds
from your weekend sale into super. Your contribution will earn
compound interest until retirement.
3) 3 million Australians have unclaimed
superannuation. Are you one them? Go to www.unclaimedsuper.com.au
One in three workers have unclaimed super. It’s a
huge statistic. In total, there's AU$7.2 billion, or an average of
AU$1,600 per account waiting to be claimed by Aussie workers. It may
not seem a large amount, but if you dropped $10 in the street, you’d
quickly pick it up! What’s more, this is a no cost service and it
also allows you to transfer old super into your current
superannuation account.
4) Roll your super into one fund. Pay less fees.
If you have worked casually or moved around from
State to State, you may have several superannuation accounts with
low balances – and you’re paying fees for each one of them. Fees are
taken from any investment returns you have made which mean less
money in your account. The higher your fees are, the harder your
fund’s investments need to work to provide adequate returns.
It makes sense to consolidate all your balances
into one account. One fund is easier to manage. Less paperwork to
worry about. And of course, you save on paying fees. It is important
to look around and select funds which charge low to reasonable fees.
5. Choice of Fund. Your personal situation.
On July 1st 2005, a major industry initiative
took place with the launching of “Choice of Fund”. Are you one of
the many eligible workers who can make a new choice about which fund
you belong to and where your super is invested?
A word of advice, do your homework. Don’t just
listen to your mate Bob!
Compare industry performance and past results.
Look at the entry fees and exit charges you may have to pay. Review
member benefits such as life insurance coverage. (Will you need a
new medical to get the same coverage you currently have?) Changing
funds could be a good move, or may not improve your returns at all.
The final tip. Whatever you do with your super,
think super carefully.
Calculations assume growth of 6.25% and inflation
of 3%, which are common industry assumptions in Australia.
Tony Kent heads up Options Strategy a well-known
Internet Marketing Consultancy based in Melbourne, Australia. He is
a regular conference presenter. Cathy Howley is the Copywriter and
Creative Manager. Visit
http://www.options-strategy.com |
Australian
Superannuation - Hot Tips to Grow Your Super