If you’re a typical Gen Y, you can expect to change jobs on average every three and a half years, be employed by over 17 different companies and enjoy five career changes over your working life . Giving your super situation a health check today can mean bigger financial rewards over time and less hassle later in life.
Here are three simple steps you can take in NetBank to take control of your super now.
Step 1: Know where your super is going
Once you’re over 18 and earning over $450 a month, your employer will generally pay 9.5% of your earnings into super. Since it’s coming from the hard work you’re doing, make sure it’s being paid into a super fund of your choosing.
To notify your employer to pay your super into your Essential Super account, simply log on to NetBank, select your Essential Super account and click the ‘Notify your employer’ link. An email with a pre-completed Super Choice form will be sent straight to your employer. It’s that easy.
Step 2: Consolidate your super accounts
Chances are you’ve already worked in various part-time jobs and have multiple super accounts on the go, which means paying multiple fees and makes keeping track of your money a real challenge.
Not sure where your other super is? If you’ve provided your Tax File Number (TFN) on your Essential Super account, we can search for your super (including those lost accounts) and help you bring it together easily. If you haven’t provided your TFN, you can do it any time in NetBank through the ‘Manage my accounts’ tab.
Step 3: Do a balance check
When you’re in your early 20s it’s hard to know how much super you’ll need to be comfortable in the future, especially since it’s so far away. But it’s always good to know how you’re doing. You can easily check your Essential Super account balance by logging on to NetBank any time.
To put things into perspective, the national average super balance for someone aged between 20-24 is approximately $4,981. This may not sound like much now, but when you consider how super accounts work (much like savings accounts), the contributions (such as the ones from your employer) made while you’re in your 20s may grow significantly by the time you’re old enough to need it.
Take the example of Jess, a 24 year old café worker, who has worked various part-time jobs since she was 19. She has sorted out her finances early and always takes her super from job to job by notifying her employer of her existing account. Her current Essential Super balance is $5204, which is just above the national average. By keeping her super in one place she can easily manage it and avoid paying multiple fees which may affect her balance, setting herself up for future gains.
Now is the time to get your super on track and have one less thing to worry about.