“The most important step you can take towards your financial future is to engage with your super.”

It’s not the whole journey, but it’s a cracking place to start.

Naturally, our super balances start off small. However, the choices we make along the way can have a massive impact on the way our super grows.

Some recent research from Borromean Consulting found that those who made an active super selection – rather than sticking with the default – ended up with balances up to 300% higher between the ages of 70 and 74* (chart below the article).

Sure, lots of factors play a role, but the common denominator was simple: they paid attention. They got involved.

Writing this, I’m reminded of the chats I’ve had with my own (now adult) kids – who’ve come to me with many questions about finance. 

So what does engagement actually look like?

It doesn’t mean becoming an expert overnight. But there are a few small steps – or nudges – that help build the habit of checking in, making informed choices, and getting comfortable with the idea that this money is yours. 

Start by logging in

If you haven’t already, download your super fund’s app or jump online. Most funds offer easy access and solid security (and if they don’t, it’s worth asking why). Setting it up might take 10 minutes, but after that, it’s smooth sailing. 

Know how your money’s invested

Select an appropriate risk profile, investment risk is not life risk.  You might not want to take up skydiving, but high risk might be the best investment option for you.

What is your time horizon? If you’re 25, it’s another 35 years before you can access it. That is a long horizon. Most funds have good education material on their sites (if not, do some external research or talk to an adviser, probably best not to ask your conspiracy theorist mate).  

Many funds have tools to help you explore this. We can also help.

Have a look at your insurance

Insurance inside super can be a blessing – or a quiet leak.

You might not even know it’s there. If $500 a year is coming out for cover, you might prefer to salary sacrifice that amount instead. It’s less than $10 a week and preserves your super balance while reducing your tax bill.

Also, ask: Who receives your super if you pass away?

It’s important to nominate a beneficiary. 

Understand your fees

Not all fees are bad. The key is value.

What are you paying, to whom, and what are you getting for it? If it stacks up, great. If not, it might be time to review. 

Check in now and then

You don’t need to watch it daily. But quarterly? That’s reasonable. You’ll see contributions landing, insurance costs, investment returns, and maybe even the first glimmer of compounding returns doing their thing.

As life changes, your super settings should change too. A regular review makes that much easier. 

Why it matters

After doing just a few of these things, you’ll know:

• How to access your super
• What you’re invested in
• What’s going in and what’s coming out
• Whether it all still makes sense for where you’re at in life

There are plenty of other steps on the path to financial wellbeing, but engaging with your super is without a doubt a strong, early move.

Not everything needs to be fixed today — just start paying attention. That alone makes a difference.

Disclaimer: This is general information only and doesn’t consider your personal situation. Please consider seeking personal advice from a licensed financial adviser before making decisions about your super.