Disclaimer

Information provided on this website is general in nature and does not constitute financial advice. Every effort has been made to ensure that the information provided is accurate. Individuals must not rely on this information to make a financial or investment decision. Before making any decision, we recommend you consult a financial adviser to take into account your particular investment objectives, financial situation and individual needs.

Super is changing – what this means for you

Superannuation is changing – so if you are contributing to your super or even have a dormant super balance, now is a great time to think about your super savings.
The Government Stronger Super changes are designed to make super simpler and more transparent, and to help you maximise your retirement income.

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What is MySuper?
Referred to as a ‘default’ investment option – MySuper is a simple super offering that will become your new investment option if you haven’t actively chosen where you want to invest your super savings. From 1 January 2014, MySuper will replace all existing default investment options.

Does everyone go into MySuper?
No. If you’ve actively selected an investment option in your super account you won’t be affected and your contributions won’t go to MySuper. However from 1 January 2014, if you haven’t selected an investment option, or told your fund that you want to remain in your plan’s current default investment option, your contributions will automatically be directed to the new MySuper investment option.

Reviewing your choices
It’s a great time to review your choices and select investment options that best suit your needs. As your preferences, financial situation and long term goals change, you can adjust your investment strategy and investment mix to meet your changing needs.
Or, if you prefer someone else to be the expert, seek professional financial advice from a FinSec Partners adviser.

Key dates for those who have not made an investment decision

From mid November 2013
If you haven’t made an investment choice, you should receive a letter from your super fund to explain what MySuper is and how you are affected. It may also include a form if you decide you want to make an investment direction.

From 1 January 2014
Your contributions can no longer be received into your previous default investment option.
Contributions will be directed to a MySuper offer – unless you filled in a form to choose another option.

Before 1 July 2017
If you haven’t provided an investment direction, your existing investment balances will be transferred to a MySuper offer before 1 July 2017. This is known as ‘MySuper transition’.

More information: To find out about superannuation strategies please give us a call.

Published On: December 17th, 2013Categories: FinSec Post, Superannuation