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Superannuation Funds

Everyone working in Australia is entitled to receive Superannuation Contribution, which is a mandatory contribution that employers must make to their employees.

From the 1st of July 2022, the ATO removed the monthly threshold of $450, meaning anyone regardless of their monthly income is entitled to receive superannuation payments, and the current percentage is 10.5% of your gross salary.

Making a Super Choice
Most people can choose the super fund. If you already have a superannuation fund opened, it is wise to keep it. Choosing your fund means that you will not open another fund with another organization and will save some $ in fees.

What to consider when choosing a Super Fund:
The most important things you shall consider when choosing the fund are its performance, fees, insurance and investment services/options. To find out you simply have to call your superannuation fund and check with their customer service operator. Ask about your weekly fees, annual fees, investment, where your money goes and what you get back.

The money you deposit into your fund is invested, and the growth is then re-invested to grow the balance. If you are not satisfied with their fees, etc, shop around! This link will help you choose what’s best for you https://moneysmart.gov.au/how-super-works/choosing-a-super-fund?anchor=mainContent#mainContent.

Once you have made your choice, consolidate your superannuation funds. It often happens that employees have multiple Superannuation Funds opened by their previous employer and they forgot/weren’t aware of it. You can access your MyGov to consolidate multiple existing accounts.

Check quarterly that your employer has made their superannuation contribuitions into your nominated superannuation account (this usually happens before the 28th of July, October, January & April). If they haven’t, notify the ATO.

You can also make a voluntary contribution to your super account, or sacrifice some salary directly from your paycheck (the so-called Salary Sacrifice – SS).

Consider all your options when making a choice, seek advice, call your bookkeeper or accountant to get your super fund sorted.

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