SAHM - what do I do with my super?

[Fuzzywuzzy]

I started a thread like this not too long ago. I received my super statement the other day, and with interest it has actually increased even with no contributions from me. And with fees taken out. I was worried that it would all be eaten up, but so far so good!!

I think I posted this in your thread

Women and superannuation - taking control of your future This is the the government's superannuation section on the ATO website. It explains co-contributions and spousal contributions which are both ways to increase your super balance. I would also recommend shopping around for a super fund with low fees, industry superfunds generally have lower fees and provide similar returns to the retail funds. HTH

[Kitt3n]

Legislation may have changed, but when the co-conts were first introduced I am pretty sure you ahd to be in gainful employment to be elligible

What you can look into is a spouse contribution, where he can offset his contributions to your fund

[nic]

Legislation may have changed, but when the co-conts were first introduced I am pretty sure you ahd to be in gainful employment to be elligible

What you can look into is a spouse contribution, where he can offset his contributions to your fund

This is what always confused me too, that I had to be in some sort of paid work, even just a few hours a week, to access the co-contributions?? I always forget to ask the accountant at tax time too..Will try to remember it this year!

[misty]

You need to do the math to see if it is worth worrying about as well. If you have a significant amount in there, then getting your partner to contribute to your super can be a really good idea. Do you intend on returning to work at any point in the near (within 5yrs) future??? How will you catch up the 'gap' from your time as a SAHM? Does your DH's super amount to a decent amount, or would it be stressed to provode for one person?

For me personally, my super is so piddling it doesn't pay for me to do anything with it whilst on maternity leave (I think I have about $800 in there at the moment, because it gets eaten up every time I go on maternity leave), unless it is coming up to 12mths since the last contrabution, just to ensure my life insurance is still valid. Having realised that with me being a SAHM and not entering full time employment for 5yrs now and likely for at 'least' another 5-6yrs, my super is unlikely to ever be an impressive amount. Instead DH (who has fabulous super) and I have looked into other external personal investments to work towards securiing my retirement.

[Honestly, even those with huge amounts of super should look at other avenues, as the super is unlikely to sustain anyone for a reasonable amount of time by itself.]

[Taurean]

Legislation may have changed, but when the co-conts were first introduced I am pretty sure you ahd to be in gainful employment to be elligible

What you can look into is a spouse contribution, where he can offset his contributions to your fund

Oh yes, you're right! Yes, co-contributions are only for low to middle income earners. I have done a small amount of work each year since having DD so I'm able to do it. Sorry for the incorrect advice HB!!

[<3 Mumofthreetobe <3]

You could always look at the mix of funds within your super portfolio. If you have choice of fund instead of having them spread over a diverse range of funds and being charged a fee/commission on each fund, while you are on leave you could move it all to a cash fund. Advantage - less likely to lose money especially during volatile times & only one fee, Disadvantage - less likely to make money if the market booms. When you then go back to work, you could re assess your mix of funds and invest in a more growth or aggressive risk profile to replenish your super fund.

Moving to cash however is not everyone's cup of tea. It's just an option.