Take a closer look at your super
Everybody hopes to have a comfortable, enjoyable retirement. Your desired retirement lifestyle can be achievable if you clarify your goals, and plan appropriately.
One way you can boost your super is through salary sacrificing.
How the SuperMax Simulator works
Use the SuperMax simulator:
A) To calculate your estimated superannuation balance at aged 65 based on your:
- age
- income
- current super balance
Please note: The SuperMax simulator is a guide only, so it assumes certain variables like your current super balance; your balance may be different.
B) To calculate how much of a difference salary sacrificing would make to your superannuation balance at aged 65, use the drop-down menu in the ‘Salary Sacrifice’ field.
Salary Sacrifice for a super boost
The money your employer contributes to your super (9% Superannuation Guarantee Contribution) may not be sufficient to meet your retirement needs. A salary sacrifice arrangement, where you add a little more to your super over time, can make a big difference to your retirement savings.
The benefits
Salary sacrificing:
- can make a significant difference to your retirement balance;
- can reduce your income tax liability;
- contributions are taxed at a lower rate - 15%.
Preservation rules apply to salary sacrificing arrangements. This is the age you can access your superannuation benefits and ranges from age 55-60 (depending on the year you were born).
Are you eligible?
Ask your employer what salary packaging arrangements and rules they have. Please consult with your employer and seek independent financial planning advice before you enter into a salary sacrificing arrangement as it could affect the levels your employer may contribute on your behalf.
Next Steps
A Suncorp Financial Planner can provide you with an estimate of:
- Your retirement assets based on your superannuation and other assets;
- Your annual income in retirement based on your current situation.
For a personalised discussion about your retirement needs, and advice on how to boost your super; talk to a Suncorp Financial Planner on 13 11 55.
Disclaimer:
Financial product advice is provided by representatives of Suncorp Financial Services Pty Ltd ABN 50 010 844 621, Australian Financial Services Licensee. Various products and services are provided by different entities of the Suncorp Group. The different entities of the Suncorp Group are not responsible or liable in respect of products or services provided by other entities of the Suncorp Group.
Assumptions
Existing super balances, incomes, ages and projections are provided as a guide only. We cannot illustrate every scenario.
Super projections at age 65 assume customers work permanently until age 65, performance growth of 11.25% pa (the Suncorp Balanced Fund's average 5 year return as at 31/7/2007), and employer contributions (Super Guarantee Charge) of 9% pa.
Wages indexed by Average Weekly Ordinary Time Earnings (5% pa).
