It’s recommended to review your superannuation multiple times a year, and the start of a new year can be a great time for you to do so.
So where do we start? Superannuation may feel overwhelming, but it doesn’t need to be.
What to check in your superannuation
- Account balance and investment performance
Review your current balance and compare performance against your fund’s benchmarks and similar funds. Don’t just check the 1 year returns, but check long-term trends such as 3, 5, and 10-year performance to get a comprehensive view (https://www.visionsuper.com.au/invest/investment-performance/) of your fund’s growth.
Review your current investment strategy and assess if your risk profile still aligns with your chosen options. Consider if you need to rebalance your portfolio based on your age, retirement goals, and risk tolerance.
- Contributions
Ensure your employer contributions are correct and timely. Review any personal contributions you’ve made and check if you’re eligible for government co-contributions This helps ensure you’re maximising your superannuation growth.
- Fees
Examine both administration and investment fees. These can significantly impact your long-term balance, so ensure you’re getting good value.
- Insurance coverage
Review the types of insurance included in your super, such as life, total and permanent disability, and income protection. Assess if coverage levels are appropriate for your current situation and check insurance premiums to understand their impact on your balance.
You can also choose the style of cover that best suits your needs – age-based cover or fixed cover and more information can be found in our additional guide.
- Beneficiaries
Ensure your nominated beneficiaries are up to date. Check if you have a binding death benefit nomination and if it’s current.
- Multiple accounts
Identify if you have multiple super accounts. Consider consolidating accounts to reduce fees, but be sure to check insurance implications first, as consolidation may affect your coverage.
- Retirement resources
Use a calculator to help project your balance at retirement, and how much you would need to live the lifestyle you’d like. Consider the fund’s advice offerings and see if you can get free or low cost information about the topics you’re unsure of.
By regularly reviewing these aspects of your superannuation, you can ensure your retirement savings are on track and make informed decisions about your financial future. Remember, while annual checks are generally sufficient, staying informed about your super throughout the year can help you respond quickly to any changes or opportunities.
We can help
Retirement, and planning for retirement, are important stages in anyone’s life. Make sure you take the time to consider your options and seek professional advice where necessary, as this article only covers a few things to consider. Whether it’s a Vision Super financial planner, professional advisors can help you understand all aspects of your financial life, including where you are now, where you want to be, and a plan of how to get there. Financial advice fees may apply.
Contact us on 1300 300 820 Monday to Friday 8:30am to 5pm if you would like to set up an appointment with a financial planner, or email memberservices@visionsuper.com.au
*This information is general advice which does not take into account your personal financial objectives, situation or needs. Before making a decision about Vision Super, you should think about your financial requirements and consider the relevant Product Disclosure Statement and Target Market Determination. Issued by Vision Super Pty Ltd ABN 50 082 924 561 AFSL 225054.
