Life Stages
Over 55? Boost your super now.
Options for 55+
You've worked long and hard for most of your life but the old days of 'hanging up your boots' once you reach a certain age are over! There are several options available if you're aged 55 and over to help you attain your dream lifestyle in retirement through the Government's transition to retirement strategy.
There are different ways you may be able to use this strategy.
Boost your super
This is by far the most popular option and can benefit people who don't want to cut back their hours, but want to boost their super in the lead-up to retirement. You can boost super contributions through additional salary sacrificing but maintain your take home pay by topping it up from a super pension.
The attraction of this scheme for people over 55 is that it can be tax effective and once you turn 60 the income from your super pension is tax free.
Cut back and relax
Once you reach 55 if you'd like to ease back on work, maybe by working fewer hours, you can test drive retirement through a transition to retirement strategy. You and your employer can agree to a reduction in working hours and you can use a super pension to top up your reduced income. At the same time, you can increase your contributions to super so your savings keep growing until your eventual full retirement.
As with all major financial decisions though, you should consult your Quadrant First financial advisor for advice on your individual situation.
