Powered by MOMENTUM MEDIA
subscribe to our newsletter sign up

Why voluntary super contributions are so valuable

Superannuation, voluntary contribution, RaboDirect, Bede Cronin, super savings, retirement savings, retirement planning, wealth management

A study conducted by RaboDirect found less than a third of Australians make voluntary contributions to their super, but the benefits these contributions have can be vast.

The RaboDirect 2017 Financial Health Barometer found only 32 per cent of Australians make voluntary contributions to their superannuation fund, but that the gap between what people expect to have saved by retirement and what they’ll need has grown from $268,502 to $353,125.

“It’s concerning to see a large disparity between what Aussies expect to need to retire with versus what they’ll actually have,” said the company’s head, Bede Cronin.

The report, and incoming changes to the super system, highlights a critical need for Aussies to take stock of their super and savings to plan for the future.”

Mr Cronin said voluntary contributions were an effective way to help bridge this gap, adding that 69 per cent of those who make such contributions are not only twice as likely to believe their superannuation can fund their retirement, but are on average $200,000 richer come retirement.

“It’s not about big life changes, but simple actions that will make a difference. For example, contributing an additional $20 a week to your super over 45 years, can result in over $175,000 extra for your retirement,” he said.

Why voluntary super contributions are so valuable
Superannuation, voluntary contribution, RaboDirect, Bede Cronin, super savings, retirement savings, retirement planning, wealth management
nestegg logo
subscribe to our newsletter sign up
FROM THE WEB
Recommended by Spike Native Network
Phil - I agree: this is a lawyer looking to promote their business. I am a broker & former bank lending manager, but in both positions , only cross.......
MMMR - This article is about promoting Binding Financial Agreements above all else. I’m just not sure why lending needs to be the vehicle to create the.......
RobR - I am a broker and a former bank manager. As a banker we were told /trained /instructed to cross secure everything possible to "entangle" the client to.......
MT - Banks love to cross-collateralise and tie up clients. Brokers spend their time unwinding cross-collateralisation. A broker will always recommend.......