News

Experts warn: If you’re not checking your super, you may be missing out

Posted 28 August, 2017

Source: News.com.au

 

SUPER fund members are being urged to check their funds monthly and pay closer attention to their retirement savings to ensure they are getting the correct payments.

One of the nation’s largest super funds, AustralianSuper, which has more than 2.2 million members, is urging members to set up alerts, particularly on their smartphones, to remind them to keep a close eye on the progression of their retirement savings.

The fund’s group executive of member experience Shawn Blackmore said there remained a problem with people not being paid their rightful entitlements, which means they should be proactive in watching their fund’s growth.

“Super itself doesn’t tend to attract you to check your account balance every day with the large cohort of people, but we want people to be engaged with super like they are with their banking,’’ he said.

“We want them to actually to continue to have their super fund in the back of their mind and having a push notification (on their phone) is a reminder about (whether) your employer is paying your super.

“It’s important to keep track of what you are entitled to and understand where it is going and if you are noticing any differences or query you can then investigate them.”

Industry Super Australia analysis of Australian Taxation data found in 2013-14, almost one in three employees missed out on $5.6 billion in unpaid super contributions and for those close to retirement it would lower their balances by about $24,000 on average.

Most super repayments are made by employers on a monthly basis which experts say should result in checking your funds each month.

The Australian Institute of Superannuation Trustees chief executive officer Eva Scheerlinck urges all Australians to take note on any correspondence from their fund.

“If you’re just going to do one thing, open and read your superannuation statement when it comes whether this is mail or email,’’ she said.

“Employers are only legally required to pay superannuation on a quarterly basis.

“If you are working for an employer that you suspect may be underpaying you it’s worth monitoring more closely and even contacting your super fund.”

She said checking your fund has your correct mobile, email and postal address is critical to ensuring you are being kept regularly updated.