When the time comes to retire, it would be nice to feel confident that your life after work will be comfortable and that you’ll have the time and money to enjoy life, and maybe some of the things you couldn’t do when you were working, perhaps because of time restrictions.
What is Superannuation?
Very simply, it is a pot of money that you are trying to grow so there are some funds available for you in retirement – hopefully, enough for you to be able to live the life you want to when you are no longer working. The Government provides some fairly good tax incentives on this pot of money because it is generally invested for a long period of time and is not something you are normally able to access until you meet certain criteria.
How much is enough?
There is no right answer to this. The more things you want to do in retirement, and the more these things cost, the more money you will need to be able to fund them. If travelling business or first class around the world regularly is your thing, this is likely to cost more than if you want a holiday every few years in Australia, hence you will probably need to save more to pay for this.
This is why a tailored financial plan specific for your goals and dreams is so important, as is regularly reviewing this to ensure you remain on track to achieving these over time.