Why you should consider adding to your super
There’s a good chance your employer’s contributions on their own won’t be enough for a comfortable retirement. Living costs are likely to be a lot higher by the time you retire as well.
To continue enjoying the lifestyle you had while working, you should think about adding to your super with your take-home pay. Doing this can be as simple as cutting back on a few little luxuries, and putting that into your super instead.
Plus, if you’re a low income earner, and eligible, the Government may add to your super for every dollar you add with their co-contribution. Just remember to consider your debt levels before adding to your super.
The Government Co-contribution
If you have a yearly income of less than $51,813 (before tax), where you meet certain criteria, the Government will match 50 cents for every $1 that you add to your super from your after tax income – to a maximum of $500 each year. This co-contribution gets paid directly into your account after you’ve lodged your tax return for that year, if your super fund has your TFN.
|Your total income*||Your contribution||Co-contribution|
|$51,813 or more||Any amount