The biggest mistakes people make with super

Financial Spectrum's director, Brenton Tong, speaks to Kochie’s Money Makeover on the biggest mistakes that people make with super.

This video covers:
Understanding superannuation
The benefits of super
How much super you need to retire comfortably
Choosing the right super fund
Different types of superannuation funds
Making superannuation contributions

[Woodland]

I was self employed from early 30s so had to pay myself super, maxed out to my yearly limit to get a tax break. Over time it snowballed nicely. It should pay out tax free benefit equal to my annual take home pay after I retire. Wasn't looking so far ahead when I was young but now it seems to be the best thing I did.

[waffle_burger]

I don't have much time for David Koch, but this Superannuation advice was spot-on and he knew what he was talking about.

[spikarooni]

I'm 24 and this is really helping me come to understand my super and what I should do about it

[keithmackintosh]

Joining the Australian defence force would have to be one of them,
for most personnel!

[edrowlands]

The biggest mistake people make with their superannuation is not transferring their SMSF into an Industry fund such as AustralianSuper.

[PLANTONE]

I think I found the Cheapest fees in Superannuation....what do you think?

[anthonymisell]

The majority of Australian haven't got a pray in hell, to accumulate enough to retire on with the salaries they earn bringing up a family, and cannot afford to put more in with all their every day expences. My advice is location, location, buy a house you can afford and live in it over your lifetime, and sell it near retirement and downsize, and them put the rest into a super fund and laugh all the way to the bank in retirement as I am

[dontrump]

I never look at my super balance - it just upsets me too much!

[neilangus]

Any person who hasn't checked out their in Super and it's activity on a downward spiral
Salary sacrifice is the way to go for the future
When you start you will see that at the end of the day it will work for you
Take home pay won't be affected each pay
But listen to me if you haul the whole lot out at the end of the day you maybe subjected to heavy tax forms

[booargy]

Most people contribute to society. Super funds feed of people who actually work.

[josephyeo]

Super is designed as an enforced saving and you can always contribute more and save on taxes.
Retirement is what you do to prolong the lifespan of your funds. One good strategy is to continue working for as long as possible.
The "old" concept of not going to work and living off your super is flawed, as you will deteriorate mentally faster than your funds, resulting in usage of your funds to provide care rather than for your enjoyment.

[ianbennett]

Amazing the he is willing to talk about the amount they remove from SMSF for their "work". 4% or more is what they are willing to take. Talk about almost as bad as the banks in taking money from you.Would have liked it to show how these managers only take 1% of the profits that the fund generates not 1% of the total amount or any work over the year

[michaelcoughlan]

I have a smsf & its very easy, it's a bit of paperwork to start off with & do a tax return once a year not hard, these financial advisers will advise you against it because there's nothing in it for them

[TylerL]

I’m 28, professional, have $70, 000 in super that is invested in Australian shares, international shares, direct shares, property and cash. I contribute 6% to my employer 13% so 19% to the super balance. I’m a recent uni grad and earn 63k per year. I hope I’ll have enough when I retire at 60.

[vivianoosthuizen]

So many little traps yeh man that is the best sentence in the video

[xinli]

60000 per year with 9.5% can get you 700 to 900 grand? I found it hard to believe.

[haruchai]

Sorry but I think super is a con. I recently completed a 6mth contract with a state govt agency, the provider is GESB. In the 6mths I accrued just over 5K super, my return from the investments with that was $132.00, the fees and charges were over 1k. It's a gyp.

[lancedboyle]

hahahahahahaha try getting your money out THATS THE BIGGEST MISTAKE!!!!

[holycow]

Never trust a financial/money sales rep

[robmyers]

Everyone under 50 should try do 3 things:
1. Ensure they are contributing to the full concessional cap, currently $25000
2. They consolidate their super into one low cost industrial fund
3. Ensure the are invested in the MySuper asset