The current market scenario is signaling a bearish phase and it looks murkier for
investors as Ukraine Russia War continues to disrupt the global economy with Rising
inflation in such scenario Common working people try to combat inflation instead of
being bogged down by it superannuation is certainly one way to fight that and with
certain tips you can maximize your returns but before we get to that let's understand
what is superannuation please subscribe to the channel I'm Sage for calki media
a company's organizational Pension Plan designed with its employees is known as superannuation
a firm pension plan is another name for it until retirement or exit money deposited in a
superannuation account will normally grow tax-free and one of the key benefits of superannuation is
that superannuation functions as a long-term investing strategy and like any long-term
strategy it takes advantage of compound Returns the exponential rise over time is what can have a
significant impact on your retirement financial situation other than a low tax environment
now the million dollar question is how can one maximize and reap the benefits of superannuation
to begin with one must start with choosing a fund and to avoid paying additional fees one
should make sure you have one super fund at least then consider the costs associated with each fund
while evaluating them as well as your investing Alternatives and insurance requirements on a
new comparison tool called your super one must ensure that the super fund you're considering
is performing well next is making a personal contribution to your super fund you are allowed
to make a concessional contribution into Super of up to twenty five thousand dollars every fiscal
year and deduct it from your taxes there are two ways one can accomplish this salary sacrificing in
which your company contributes a portion of your pre-tax income to your super fund directly and the
other one is direct payment to the super fund of your savings in a lump sum personal contributions
made with funds you have previously paid taxes on are also permitted non-concessional contributions
cannot be claimed as a tax deduction yet are not taxed when deposited into a super fund next on the
list is salary sacrifice consideration though it may sound harsh and hard to do listen to the good
part you normally pay less tax overall when your salary is sacrificed into a super fund because it
lowers your taxable income if you have a job that pays more than forty five thousand dollars a year
the tax on salary sacrifice super contributions is 15 which would be less than your marginal tax rate
considering the life insurance needs of the average person is important between income
protection insurance death insurance and total and permanent disability insurance one must decide
what is more important than the other as per their financial goal and security especially when one
has worked in various jobs and has different funds as one will leave that insurance cover
when consolidating all into one super fund so to sum it up you cannot access your super fund until
you are between the ages of 55 and 60 and your birth year determines your exact age it's crucial
to consider both your current cash flow needs and your long-term Financial objectives when choosing
how much to contribute I hope these points help in your achieving your financial goals and security
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