What is superannuation?
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Superannuation is a compulsory scheme, designed and regulated by the government to help you save for retirement.
Unlike a regular savings account, your superannuation is only accessible when you reach your preservation age and permanently retire from the workforce, or if you meet another specified condition of release.
In most cases, it is compulsory for your employer to make contributions to your superannuation account on your behalf. You can also make personal contributions to your superannuation account, if you choose to boost your savings or if you are self-employed. This money is then invested on your behalf by your super fund.
One of the benefits of super is that it is designed to be a tax-effective way to save for your retirement, as contributions and investment earnings in your super fund are typically taxed at a lower rate than your normal earnings.