Superannuation funds are vital when it comes to retirement in Australia. Many people do not even know much about it nor the possible ways to make the most of their Super. Some pensioners-to-be already know the fund they have. However, they might not know if they can change it or how to do it. Since it is essential to save up as much as possible, you need to find out all your possibilities. Retirement is becoming a challenging period due to the rising cost of living and the lack of savings of many pensioners. Therefore, it is now time for you to do something about it. Pay attention to all the details to make it worth it.
Luckily, most people can choose their Super fund. In this way, they could make some extra payments to make it grow. These payments are known as contributions. Unfortunately, you cannot add as many contributions as you would like to. Because it will imply paying taxes, and that would affect your savings. Spending extra money on taxes is not wise. It would be best to keep it in your savings account. Once you start working and are already 18, you have the right to have a Superfund. Your employer will provide you with a form. You need to fill it in in order to apply for one or to change it. There are standard forms that the ATO has created. If you would like to have a look at it before your employer hands it in to you, click here. This is called the Standard choice form (NAT 13080).
Remember that your employer will have to give you the aforementioned form 28 days after your first work day. Once you have it, you can make your choice in a written way. From 1 November 2021, your employer has the obligation to choose your Super fund, but only if you decline the option of choosing one. Employers could even ask the ATO if you already have a Super fund in order to continue paying for that one. Do not forget that your super fund is linked to you and it will follow you when you change your job. ATO will let you know if your employer has requested such information.
How to know which superannuation fund you have got
You might want to add some contributions to your Super, but you might not know which your super fund is. Sometimes you can not remember the details related to that account. In this case, there is no need to worry since through myGov you can have access to this essential information.
There is also a very practical and helpful tool. This tool might come in handy when dealing with your Super. Its name is YourSuper comparison tool and it will guide you to compare the different choices of MySuper and pick up the one you like best. You might think your retirement is far away from your present, but the ATO advises workers to prepare it the sooner the better. Then, keep regularly checking them in order to make more money.