Your annual super health check in five easy steps

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Your superannuation is your financial freedom in retirement. While it may not feel important now, an annual super health check can take less than 30 minutes, and it will keep you on track for a secure financial future.

This five-step process is quick and easy to complete and will help grow your super nest egg, giving you assurance that you’re heading towards your retirement goals.

Step Up knows that your superannuation is an enormous investment. We know you want your super to work as hard as you do, and we know you may need help to make the right choices. Reach out to our team if you need advice.

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#1 Check the basics

Many people ignore their super for years, but it’s simple to access your super online. Log in to your super account and check your personal details are up to date. This includes noting that your Tax File Number (TFN) is correct on your account. This may sound simple, but life changes quickly and it’s easy to forget about the basics.

Annual Super Health Check tip – review your super balance and track the growth. Watching your superannuation grow may give you certainty, but you may be interested in adjusting your investment options.

Most online super accounts allow this with the click of a button, but you may need advice to see which type of investment suits your circumstances. Your investment choice will (usually) reflect your appetite for risk. This shifts at different life stages.

If you’re starting out in the workforce, you may be keen to choose a high growth option. But as you near retirement, you will be keen on conservative growth and want to avoid volatility.

Remember super is a long-term investment. Evaluate its growth over a five year period.

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#2 Nominate your super beneficiaries

While you’re logged into your account, check who you’ve nominated as your beneficiary.

Super beneficiaries receive your super when you pass away. Ultimately, the trustee is responsible for making the decision about who receives the super.

Make sure your Annual Super Health Check includes nominating a binding beneficiary.

A binding nomination makes it legally binding and the trustee must follow this instruction.

A non-binding beneficiary can be viewed as a suggestion by the trustee, and they may choose to allocate elsewhere.

If you’ve recently settled with a new partner or separated from one, or perhaps you’ve started a family – it’s time to review your super beneficiaries.

You will need to nominate super beneficiaries within your super fund. Under superannuation law, a valid beneficiary can only be a spouse, children, spouse and children…or your Estate (which means your Will).

If you don’t have a spouse or children, your only valid beneficiary is your Estate, which means you need a valid Will that stipulates who you would prefer to inherit your super – your parents, your siblings, your best friend!

Step Up provides an estate planning service that may assist you in this process.

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#3 Find lost super and consolidate

There is over $13 billion of lost super, according to the Australian Tax Office. If you’ve had more than one job, there’s a good chance that you’ve been paid super into a different super account that you’ve forgotten about. It’s your money, so find it!

Annual Super Health Check tip – The website is a great place to start looking for lost super. Also, check the mygov website: all your super accounts should be listed here under your TFN.

Alternatively, if you know which institution holds your secondary super accounts, you can complete a rollover form and consolidate all super accounts into one that way. Choose carefully which super you want to keep.

There may be benefits in old accounts that suit your circumstances now. Different accounts have different fees and insurance options. If you need support with this decision, ask the Step Up team to help you review the options.

#4 Know what insurance you have

You may not see it, but several types of insurances can be wrapped up in super. Fees are withdrawn from your super balance to pay for these insurances.

This is NOT necessarily detrimental. But you should KNOW what you have, if its good value and if it’s worth keeping.

Life, and Total and Permanent Disability are the two standard types of insurance that are often included in super accounts. This is why consolidating your super can help reduce overall fees.

Income Protection is another type of insurance that may be part of your super. Some employers may also provide an income protection policy as a negotiated employee benefit.

Your Annual Super Health Check should include – check your statement or log into your account and review what your insurance benefits are and the associated fees.

Don’t hesitate to ask one of the Step Up advisers to makes sense of it. Our personal insurance service will help you assess what you and your family need.

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#5 Top up your super

There is no doubt that any additional contributions to your super will growth your wealth for retirement.

There are several ways you can top up your super. A small, regular salary sacrifice (pre-tax) can improve your super balance without much impact on your payslip. Or you can make one off (after tax) contributions.

Remember there are annual caps on additional super contributions. Check with your financial adviser to make sure you know what the tax implications will be.

Our final tip – assess if you can top up your super. If you haven’t completed an Annual Super Health Check for a while, give Step Up a call.

Our comprehensive services can support your needs now and make sure you’re on track for retirement. The Step Up process supports clients to take control of their financial future. Get in touch and we will help you make an informed choice.

Need more information? Get in touch with Step Up Financial

    • 107 Moulder Street,
      Orange, NSW 2800

      PO Box 2499
      Orange, NSW 2800

    • (02) 6362 5445