Make salary sacrifice contributions to super

Consider the following example:

Based on the above values and using the superannuation calculator at MoneySmart, at age 65 you'll have accumulated $558,000 in super. This is enough to provide $50,000 per annum indexed at 3% per year until age 81.

However, if you can salary sacrifice $250 per month, at age 65 you'll have accumulated $727,000 in super (or an extra $169,000). This is enough to provide $50,000 per annum indexed at 3% per year until age 91 (or an extra 10 years). To enjoy a better lifestyle, this is enough to provide $66,000 per annum (or an extra $16,000 per annum) indexed at 3% per year until age 81.

Making salary sacrifice contributions to super is a great way to create wealth.

Important Information

The above information provides an overview or summary only and it shouldn’t be considered a comprehensive statement on any matter or relied upon as such. The above information doesn’t take into account your personal objectives, financial situation or needs. It’s important for you to consider these matters before making any financial decision and I recommend you seek help from a financial adviser.