Taking Control of Your Super

As young women planning for the future, understanding superannuation (or super) is essential. Super is Australia’s way of helping you save for retirement. It’s a long-term investment that grows over time and can significantly boost your financial independence.

What Is Superannuation?

Superannuation is a fund where your employer deposits a portion of your salary—currently at least 10.5%—into your account. This money is invested to grow until you retire. Think of super as a personal retirement savings account managed by professionals.

Why Is Super Important for Young Women?

Many women worry they won’t have enough savings to retire comfortably. Starting early gives your super more time to grow through compound interest—money earned on previous earnings. The earlier you start contributing, the better prepared you’ll be for retirement.

“The best time to plant a tree was 20 years ago. The second best time is today.” – Chinese Proverb

How Can Young Women Maximize Their Super?

1. Boost Your Contributions

Besides your employer’s contributions, you can add extra money. You might consider:

• Salary sacrifice: Agree with your employer to divert part of your pre-tax income into super.
• After-tax contributions: Deposit extra savings into your super fund.

Tip: Check if your fund allows additional contributions and consider the impact on your take-home pay.

2. Choose the Right Super Fund

Selecting a fund that aligns with your values and offers good investment options is key. Look for low fees, transparent performance, and services tailored to women’s needs.

3. Monitor and Manage Your Super

Regularly review your super statements. Use online tools to track growth. If your circumstances change—like switching jobs—update your details to keep your super consolidated and efficient.

4. Get Professional Advice

Consult a financial advisor specializing in retirement planning. They can help tailor strategies, especially if you’ve had gaps in employment or changed careers.

Common Questions About Super

Do I Need to Do Anything to Start My Super?

Generally, your employer handles super payments automatically. However, ensure they have your current details. If you’re self-employed or running a business, you’ll need to set up your super fund.

Can I Make Personal Contributions?

Yes. You can contribute at any time, up to the annual concessional and non-concessional cap limits. For 2025, the cap is $27,500 for concessional (pre-tax) and $110,000 for non-concessional (post-tax) contributions.

What About Accessing Super Early?

Accessing super early is rare and usually only allowed under specific circumstances, like severe financial hardship or terminal illness.

Is Super Flexible for Women Returning to Work?

Absolutely. Women often have career breaks. You can make voluntary contributions when you return or swap funds between funds if necessary.

Overcoming Challenges Unique to Women

Women often face career breaks for family or caregiving, which can reduce super growth. Combat this by:

• Making catch-up contributions when possible.
• Choosing investment options that grow steadily.
• Advocating for super policies that support caregivers.

In Australia's context, women make up a larger proportion of part-time workers, which can impact super savings. Staying informed helps you make the most of your super accounts.

Navigating International Considerations

Many young women come to Australia from overseas. If you’re an international student or migrant:

• Documentation: Keep records of your visa, identity, and employment history.
• Contributions: Foreign savings can often be transferred into an Aussie super fund.
• Taxation: Once you become a resident, super contributions are taxed differently, so seek advice to optimize benefits.

Building Financial Independence

Super is one piece of the puzzle. Combine it with other strategies:

• Save regularly in a high-interest account.
• Invest in property or shares for additional income.
• Educate yourself about personal finance basics.

Important Deadlines

• Super guarantee contributions are made quarterly. Missing payments can impact your growth.
• Contribute by June 30 each year if you want to claim a tax deduction.
• Review your super at least once a year to adjust your investment strategy.

Final Thoughts

Empowering yourself with knowledge about super paves the way to financial independence. Starting early, making informed choices, and staying engaged with your super fund will help you secure a comfortable retirement.

As one of my clients, a young professional from overseas, said: “Understanding super gave me confidence to plan my future here. Now I know my retirement is in my hands.”

Take control today. Your future self will thank you.