Superannuation boosts your retirement savings

One of the most common questions entertained in the offices of Q Invest is how do I maximise my superannuation for retirement. For many people, knowing where they stand in relation to their lifestyle goal give is peace of mind. This peace of mind is dispensed daily at Q Invest by illustrating our clients’ financial position and projecting their ability to achieve the lifestyle they have chosen.

Superannuation is the main vehicle for providing tax effective funds for retirement income streams. Sources of contribution to superannuation include sacrifice of salary, lump sum contributions and rollovers from other superannuation funds.

Targeting to reach core retirement income objectives is one way of securing a stronger financial future. Q Invest advisers use purpose-built software that makes developing the best strategy simple to understand. This long term and small contribution approach avoids contribution cap issues and creates the opportunity for non-superannuation smart strategies such as gearing.

The contribution caps are limits to the amount of superannuation contribution that you can make and can change based upon your age and your working status. The penalties for exceeding these caps are severe. A well considered and managed contribution strategy can maximise the flow of funds to superannuation without triggering any of these penalties. Whereas used to be able to contribute any amount of money into superannuation at any time, that is not the case today. You need a plan.

Once retired, the reward is a tax free income known as an allocated pension. With this benefit at the end of the financial plan, the costs of receiving the advice are of no consequence.

Rolling over your superannuation to your choice of fund can have its advantages. You need help to make an informed decision that is in your best interest. Your superannuation funds may have benefits and costs that only research can bring to light. Whilst the strategy of consolidating superannuation does make sense, the benefits are found where independent comparisons of your options are made, after accessing good financial advice.

You can get money into superannuation without paying income tax. This is called salary sacrifice. You will be contributing a portion of your pay directly to your superannuation fund. You will pay less tax and therefore save more. In some cases this is achieved without a change in take home pay.

Q Invest can provide advice to meet your financial needs from a service that suits your lifestyle and budget.