Gallagher believes in empowering our clients through education, so decisions are made consultatively with you. Even if you don’t make any additional contributions, you can always invest smarter and then reap the rewards when you retire!
Superannuation is a tax effective vehicle that forces us to save for retirement. For younger contributors, it will probably be your biggest asset in retirement with a value even higher than your home. It is therefore vital that you take control, understand how your super is invested and make changes appropriately. There are a number of simple and effective strategies that can be employed which can significantly improve wealth over time.
Gallagher Tip: Use the Superannuation Calculator to find out how much Super you will have when you retire.
It is vitally important to ensure that you only have one superannuation fund. Not only is it more convenient, it avoids duplication of fees and allows you to take ownership of your money.
This ultimately reduces your taxable income and boosts your superannuation balance. This is done by making extra contributions (before tax) throughout the year. Limits apply to how much can be contributed in any one year.
A strategy that allows you to draw down on your superannuation prior to retirement and then contribute more to super via salary sacrificing. This strategy can help reduce tax, boost super contributions while having no net affect on your take home pay. Given it can be a bit complicated, its best to talk to us and we can work out if it is relevant for you.
This is by far the most important consideration for your superannuation. Your investment selection (and yes you can choose) will significantly effect your balance upon retirement. Your superannuation can be invested in a number of different asset classes including shares, property, fixed interest, alternative assets and even cash. We help to ensure that you are invested in the right assets at the right time, whilst ensuring you are comfortable with your investments and reflecting your personal preferences.
Diversification ensures that your portfolio is protected in turbulent economic periods. Your superannuation can be invested in a number of different asset classes including shares, property, fixed interest, alternative assets and even cash. We will guide you to invest in the right assets at the right time and ensure you are comfortable with your investments so that your superannuation balance will grow.
This type of contribution may be advantageous for low income earners to attract the Government co-contribution or spouse contributions. This may be relevant for people who have sold a large asset like an investment property and want to use the low tax environment of superannuation to keep investing.