Getting Started with Superannuation

What is Superannuation?

Superannuation (or 'super') is a way of saving for retirement in Australia. Your employer is required to pay a percentage of your salary into a super fund, which is then invested to grow over time until you retire.

The current superannuation guarantee (SG) rate is 11.5% of your ordinary time earnings, and this is set to increase to 12% by 2025.

Types of Super Contributions

There are several ways money can be added to your super account:

• Employer contributions: The compulsory contributions your employer makes on your behalf.
• Salary sacrifice: Additional pre-tax contributions you arrange through your employer.
• Personal contributions: After-tax contributions you make directly to your super fund.
• Government co-contributions: If you're a low or middle-income earner, the government may match some of your personal contributions.

Choosing a Super Fund

You generally have the right to choose which super fund your employer contributions go to. When choosing a fund, consider:

• Fees and costs
• Investment performance
• Insurance options
• Services and features

Accessing Your Super

Generally, you can access your super when you:

• Reach your preservation age (between 55-60 depending on your birth year) and retire
• Turn 65 (even if you're still working)
• Meet certain conditions of release (such as severe financial hardship or compassionate grounds)

Next Steps

Now that you understand the basics of superannuation, here are some actions you can take:

1. Log into your super fund and check your current balance
2. Review your investment options and risk profile
3. Consider making additional contributions if you can afford to
4. Check if you have any lost super using the ATO's search service