Super race against time heats up with funds left untouched
Australians not seizing the opportunity to grow their super balances might miss out on the benefits of a financially comfortable retirement.
Findings from Mozo’s survey* show 7 in 10 Aussies have never changed their super investment allocations, potentially missing the chance to improve their returns. These investment allocations are usually made based on the level of risk a person is willing to take on, their retirement goals, and the stage of their career. They require some consideration but it appears that many lack the financial literacy to make a better decision.
When it comes to super generally, 15% of people don't know what type of fund their super is being held in.
“A number of Australians are concerningly apathetic about it, but checking your super fund on a regular basis is the only way to ensure you don’t cheat the older version of you out of a bigger nest egg,” says Mozo money expert, Rachel Wastell.
More super could be needed as life expectancy goes up
According to recent data from the Australian Bureau of Statistics (ABS), the proportion of Australians over 85 has increased by 110% while the overall population has grown by 35%.
With more older Aussies and life expectancy on the rise, prioritising super has become more important than ever. Taking an active approach means you could have super outliving your retirement, rather than the reverse.
Wastell notes that it’s important to review your super as you approach retirement, as you’ll no longer have time to recover from any investment losses.
Make the most of your super
If you’re not sure how to manage your super, reaching out to a financial adviser can be a good idea. They can work with you to come up with a plan based on your circumstances, while factoring in your retirement needs.
Think you’d like to know more about super? Have a look through our superannuation guides hub to learn more about the world of super.
*Mozo.com.au commissioned a nationally representative consumer research survey via Researchify, surveying 2,141 Australians, aged 18 years and over, from 30th August to 11th September 2023.
Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.
While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.