Don’t be afraid to switch
Avoid setting and forgetting your super
. Instead, take an active role with regular reviews. If your fund isn’t hitting the average growth rate of at least 7% or 8% after fees
(for balanced-option investment strategies) consistently, it could be time to look at switching to another fund. Also, if you’re paying more than the Aussie average of 1.23% a year
, it might also be worth your time to check your fund’s fee structure and consider switching.
Similarly, a fund with high fees can erode your super balance, and because of how long your money has to compound, the few thousand dollars extra you end up paying in fees could become a significant amount of money – as much as hundreds of thousands of dollars – at the end of the three, four, or five decades of your working life.
Wondering if your super is right for you?
Join tens of thousands of young Australians getting their super organised today with Student Super.