How can you close the gap?
Compounding interest means the longer your money is invested – the more interest you make. Boosting your super, or your spouse’s super is a way to help close the super gap.
For information about salary sacrifice, voluntary contributions, spouse contributions and contribution splitting, click here.
Working towards financial security for you and your family isn’t just about putting away money. There are other levers you can pull to optimise your super.
Understanding fees, account consolidation, making an investment choice, sorting your insurances and managing your beneficiaries, are some options.
legalsuper is focused on empowering our members through education, enabling both women and men to better leverage super and have confidence in financial security.
To make the most of contributions and optimise your super account, legalsuper is here to help. We have a national client service team to meet with you 1-to-1 and offer tailored support.
As a legalsuper member, you have access to a dedicated Client Service Manager in your region, that you can speak with in person, over the phone or online. A Client Service Manager can help with:
- maximising your super savings
- finding lost super and consolidating other super accounts
- your insurance options
- retirement planning strategies
Click here to arrange an appointment with a Client Service Manager near you, or contact us on 1800 060 312 between 8am and 8pm Monday to Friday (AEST/AEDT).
Why is the super gap so much bigger than the wage gap?
Compound interest makes super a powerful tool when saving for retirement as interest is paid on both the principal and interest from past years: a bit like the snowball effect – over time you see exponential growth.
Together with the favourable tax treatment afforded to super, compounding interest is one of the main reasons investing through your super for retirement is so powerful and one of the many reasons why the super gap is so much bigger than the wage gap.
Using MoneySmart’s compound interest calculator as an example:
- If you were to deposit $20,000 back in 1985 (when super became available under Government awards) with compounding interest, this deposit would be worth $133,191 today.
- If you were to deposit $20,000 in 1992 (when super became compulsory for all), your $20,000 would be worth $93,926.
- Together with the favourable tax treatment afforded to super, compounding interest is one of the main reasons investing through your super for retirement is so powerful and one of the many reasons why the super gap is so much bigger than the wage gap.
Challenging the super gap
- legalsuper is here to empower all members to make choices leading to better outcomes in retirement. For women, we are working to close the super gap and increase the long-term financial security of our members, so that generations of women who follow us can achieve the same.
- legalsuper has a significant role to play in closing the super gap. Historically, legislation and policy making has had the biggest impacts on women’s financial security in retirement.
- legalsuper works closely with organisations who help us influence better outcomes for women.
- legalsuper is a member of Women In Super, a not-for-profit organisation. Through Women In Super, we advocate for a super system void of gender-based inequality. This includes advocacy for topics such as super and paid parental leave, workplace gender equality and women on super fund boards.
- We also work with the Australian Council of Superannuation Investors (ACSI) which provides a collective voice and influence on Environmental, Social, and Governance (ESG) issues, including promoting gender diversity on the boards of ASX listed companies.
- We have our own internal diversity policy to help us combat bias against women.
Check your super to create a better tomorrow
Making time to invest in yourself could be the most rewarding and empowering decision you make. Here are some helpful ways you can become more confident and informed about your super.
Regularly check how your super is tracking with online access to your account.
Check what you need and if you’re on track for a comfortable retirement.
Life can be full of unexpected surprises. Check you have the right amount of insurance cover for you and your family.