POWERED BY MOMENTUM MEDIA
Unpaid SG affects young and low-income Aussies most
A 25-year-old could lose more than $14,000 at retirement if they do not receive a one-off superannuation guarantee (SG) of $4,000, according to a super body.
The Association of Superannuation Funds of Australia (ASFA) said the loss of super impacts more heavily on younger Australians, who were not only missing out on the immediate amount but also its potential growth over the years until retirement.
ASFA chief executive, Dr Adrian Fahy, said lower-income earners were also affected as they would be reliant on their super savings to supplement the Age Pension in retirement.
"Estimates show that for a 25-year-old, a one-off loss of $4,000 in super could equate to a loss of more than $14,000 at retirement in today's dollars. Australians who are facing more vulnerable circumstances and broken work patterns may endure multiple losses throughout their working life," Fahy said.
"It is important to know what you are entitled to when it comes to SG so you are not missing out on a large sum in retirement."
ASFA said those not receiving the SG should check their payslip, speak to their employer, contact their super fund, and lodge an enquiry with the Australian Taxation Office.
Recommended for you
Jim Chalmers has defended changes to the Future Fund’s mandate, referring to himself as a “big supporter” of the sovereign wealth fund, amid fierce opposition from the Coalition, which has pledged to reverse any changes if it wins next year’s election.
In a new review of the country’s largest fund, a research house says it’s well placed to deliver attractive returns despite challenges.
Chant West analysis suggests super could be well placed to deliver a double-digit result by the end of the calendar year.
Specific valuation decisions made by the $88 billion fund at the beginning of the pandemic were “not adequate for the deteriorating market conditions”, according to the prudential regulator.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
