We have already discussed the benefits of compounding interest – leveraging time and regular contributions to grow your wealth.
Super is a great way for you to get the benefits of compounding.
It’s amazing the difference that small but regular contributions can make to your retirement savings when they are combined with the principle of compounding interest.
1. Consider Salary sacrifice to lower tax and boost your super. This is simply adding funds from your salary to your Super before you get taxed. It’s a great way to save on tax and also grow your wealth.
2.Transition to retirement strategy that may add tens to hundreds of thousands of extra dollars in retirement while saving a heap on tax.
3.Add up to $180,000 per year into your super account. This is a non-concessional personal contribution strategy that can work in your favour.
4.Combining Superannuation Accounts.Throughout your working life it is unlikely that you will remain with the one employer until retirement. Consequently, as you change employment, it is likely you will accumulate several superannuation funds.
Having a number of superannuation funds may result in additional fees, difficulty keeping track of your funds, and maintaining a suitable investment strategy.
This may not be the best scenario for your retirement savings.
You want to give yourself the best chance of growing your retirement income.
Multi-accounting can lead to confusion and confusion often leads to inaction.