How to turn $500 into $11,000
Tags: superannuation, super, retirement, savings, contribution, co-contribution, Government
Great article on the ABC website today explaining the Government’s Superannuation Co-Contribution scheme, which many eligible Australians still aren’t using!
The Super Co-Contribution was introduced in 2003 as a way to help lower income earners provide for their own retirement. To access it, you need to have annual income of less than $34,488 (there is a sliding scale up to $49,488), and contribute $1000 – for which the Federal Government will gift you $500.
Over a 40-year working life, the power of compound interest will transform this $500 to nearly $11,000! Even better, if you accessed the co-contribution for 10 years, this would translate to over $150k extra in your super account – now that’s a good deal.
Read all the details here.
