Contribute and build your super

Ahhh, retirement.

Plush penthouses, fine dining and extravagant European holidays, right? Well if you’re not making extra contributions to your super, the reality could be a campervan, baked beans and trips to the Big Banana.

Just a little extra cash thrown towards your super now and then can make a huge difference to your retirement.

Savings tip: The magic of compound interest! Find out how the magic of compound interest can make your superannuation multiply.

Why contribute to your super?

  • 9.5% probably won’t cut it Your employer contributions of 9.5% might sound pretty generous, but they are probably not going to come close to funding the retirement lifestyle you would like.
  • You can’t eat your house Do you really want to be selling up your home and downsizing to free up extra cash in retirement? Probably not! So if you’re keen to stay put, it could be a smart move to start putting aside money into your super now.
  • Government pensions aren’t going to help much The scary fact is that the age pension is really only a safety net for those worst off, which makes it vital to take your super saving seriously.
  • It’s tax effective Super is one of the most tax effective ways to build your investments. If you contribute to your super by salary sacrificing (directing some of your pre-tax salary into super) your contribution is only taxed at 15%.

So how do I contribute to my max Super?

Here are a few ways you can help your super get bigger than Dolly Parton’s … hair.

  • Personal contributions. Make contributions from your after-tax income to your super account. These can be one-off, or you might want to set up a regular savings plan.
  • Salary Sacrificing. Make contributions from your pre-tax salary. (This is great because you can massively reduce the amount of tax you pay on your salary and add the saving to your super contribution, meaning more money in your super).
  • Government co-contributions. If you earn less than $51,021 a year and make after-tax contributions to your super, you may be eligible to receive a co-contribution from the government. How much could you get?
  • Review your investments. To make sure you’re maximising your super savings, it’s worth reviewing your investments as you progress from one life stage to the next. For example, a higher risk strategy may be great when you’re in your 20s and 30s but perhaps not as suitable if you’re planning on cashing your superannuation benefits in the near future.

Some handy tips on rounding up some extra cash to help grow your super

  • Take on max’s Latte Challenge – give up (or cut down) on those morning lattes and put the money into your super.
  • Sell extra stuff you don’t need anymore on eBay. You know, like that Ab Cruncher you bought with the best intentions but never took out of the box.
  • Got a tax return or bonus coming your way? Throw it into your super.
  • Had a pay rise recently? Consider setting up a salary sacrifice arrangement with your employer so the extra money goes into your Super and you won’t even notice. Meanwhile you can reap the rewards as your Super grows and grows!

How to make payments

You can make contributions into your max Super account by EFT, cheque or direct debit. For all the nitty-gritty, check our payment methods.