Home Superannuation How To Boost Your Superannuation Balance For Free!

How To Boost Your Superannuation Balance For Free!

written by Shelley Marsh 23/07/2013
Increase Your Superannuation Balance

No this is not a scam!  Yes this is legit!  Though I am very proud of you for being skeptical because you should be when it comes to your money.  However, if you qualify I have a way to make a 50% return for zero risk and boost your super balance in the process.

This is through the government’s superannuation co-contribution scheme.  It is really simple.  If in the upcoming financial year you earn less than $33,516 and you put a contribution of $1,000 of after tax money into your superannuation account then the government will put in an additional 50 cents for each dollar (up to $500).  You put in $1,000 and they give you $500 for free!  There are not too many legitimate investments that I know of in which you can a 50% return, for zero risk, guaranteed.  It is the closest thing I have seen to money for nothing.   Between $33,516 and $48,516 the scheme phases out but you still get a benefit.  (Click here for the ATO’s calculator and the full details to see if you qualify).  You might qualify if you work part time or if you only work part of the tax year post returning to work.  It is definitely something to check out.

Also this year if you earn less than $37,000, the 15% superannuation contributions tax that is paid when your superannuation contributions are made by your employer, will rebated back to your superannuation fund by the government.  The official name of the scheme is the Low Income Super Contribution (LISC).  If you qualify, this scheme could increase your super balance by up to another $500. Everything helps when you are trying to save for your retirement.

Another way to boost your superannuation for free is to find any lost super you might have.  Losing your super is easily done, especially when you have changed jobs a few times.  There are three main ways to find your superannuation and the best part is that they are all free!

(1)    SuperSeeker:  The ATO Super Seeker service searches the ATO’s databases for your lost super accounts.  Click here to find out more.

(2)    AUSfund:  They look after the lost super of many Australians for some of the biggest super funds in Australia. Click here to find out more.

(3)    Your Current Super Fund:  Often they have a lost super service, where they find your super for you.  Super funds have this service as they too are keen to see you boost your super account with them 🙂

Just, while I have you on the topic of superannuation.  You should know that this financial year your compulsory superannuation contribution made by your employer have increased to 9.25% of your package from 9%.  So everyone who is paying super will be getting a super boost regardless 🙂

If you enjoyed this post you also might like to read these posts:

How to boost your superannuation balance while you are a Stay At Home Mum

Your superannuation and your children: one thing you really should know

Women and superannuation: how do you make sure you have enough?

3 easy ways to find your lost superannuation (so easy, even my hubby could do it!)

Women and superannuation: how do you make sure you have enough?

How to pay off your mortgage faster

Happy Investing!

 

Money Mummy

* Please note this is for your general information only and does not constitute financial advice.

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11 comments

Ellen 24/07/2013 at 9:04 pm

Hi MM!
I didn’t know about the Super Co-contribution scheme – it sounds great. Do you know if your partner’s income is relevant? This could be a great tip for stay at home mums with working partners if the partner’s income is NOT relevant….
Thanks for the info!

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Money Mummy 24/07/2013 at 9:49 pm

Hi Ellen, eligibility is based on your income alone. Your partners income is irrelevant. The main catch for stay at home mums is that you need to have some income during that financial year. This means you will have had to work at least part of the financial year. Check the full eligibility criteria here . Money Mummy

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Alison at The Thrifty Issue 26/07/2013 at 8:49 am

Great advice Money Mummy! I saw something in my tax return about Super Co-contribution but ignored it as I’m not contributing at the moment. I’m a contractor, and opted to put all my ‘super’ money into the mortgage to pay that off first … however I don’t seem to be doing that either. So I think I will take your advice and pop the $1000 into super this year, and do a review on my super fund as well. Thanks for the inspiration. Cheers, Alison

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Money Mummy 28/07/2013 at 11:13 am

Hi Alison – yes it is really easy to forget your super when you are so busy! Glad I gave you some inspiration. Money Mummy.

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Gold Coast Mum 26/07/2013 at 2:01 pm

Hi via FYBF! Thanks for this – good to know! 🙂

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Money Mummy 28/07/2013 at 11:10 am

Thanks – glad you liked it 🙂 Money Mummy

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Jody at Six Little Hearts 26/07/2013 at 6:02 pm

Thanks for the informative post! It’s sad they expect stay at home Moms to have had some form of income in order to qualify. We women cannot seem to win! Women are so disadvantaged when it comes to retirement on account of our reproductive lives. The scheme is a great idea – I just wish they’d apply it to all people under the threshold regardless of whether there’s an income or not! 😀

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Money Mummy 28/07/2013 at 11:08 am

Hi Jody! I totally agree. Unfortunately the do not think of stay at home mums when they design these things and they should! We are very disadvantaged when it comes to super. There is one thing you can do for your super as a stay at home mum. It is not as good as the co-contribution 🙁 but I will write something on it next week. I think it is a very important topic and stay at home mums need to look after their super even more than the average person. Money Mummy

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Stephanie 28/07/2013 at 10:40 pm

Stopping by for the first time! Nice to know that are still freebies available for the taking!

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Money Mummy 30/07/2013 at 9:54 am

Hi Stephanie! Yes, I agree! Nothing better than a freebie! Thanks for stopping by. Money Mummy

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How To Boost your Superannuation While You Are A Stay At Home Mum 07/08/2014 at 6:25 am

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