Retirement is a long way off for Millennials so why should you care about Superannuation? You have ages before you are going to need it.

This may be correct, however, ensuring that you are setting up your Superannuation correctly and efficiently while investing it in the best possible way can determine whether you can become a self-funded retiree in 40 years’ time or whether you will rely on the Government to fund your retirement.

To put this into perspective, the Government Pension for a couple (non-home owner) is only $32,386 per year – after you’ve paid rent there’s not much left over to enjoy the extras life has to offer!

Many people believe that Superannuation is a good way to save for retirement but underestimate how much they will actually need to retire. It’s very tempting to “stick your head in the sand” and hope that it will all work out but making informed decisions about your Superannuation at the early stages of your career can ensure that your balance will be large enough to fund you well into retirement.

Seeking guidance from a Financial Adviser can ensure you are making informed decisions and that you are achieving the best outcome for your “nest egg” – which can change how comfortable you live in retirement.

To make this a little bit clearer for you, one of the many changes you can make could be to salary sacrifice into your superannuation. What does this mean for you? You will pay an amount of your choice directly into your superannuation – meaning you will be giving less to the tax man and more for yourself in retirement.

For example, a person earning $60,000 may want to salary sacrifice $5,000 p.a. which will give them a tax saving of $1,800. Putting as little as $5,000 into your superannuation every year can add up to an additional $200,000 in retirement. This is in addition to your superannuation guaranteed contributions paid by your employer. Imagine the freedom you will have with these additional funds!

A good Financial Adviser understands that there is no ‘one size fits all’ – they listen to your goals and work with you to achieve them. There are many different investment options to consider and a Financial Adviser can help you determine the pathway that will achieve the best possible outcome for you.

If you are worried or just don’t know if you will have enough in retirement don’t bury your head in the sand, take action today– before it is too late.