AustralianSuper looks at what to consider when choosing your first super fund
Apr 15, 2024
Super is like an automatic savings scheme, designed to help support your financial needs in retirement.
You’ll grow your super over your working life, so knowing what to look for in your first fund can make a difference over the long term.
Can I get super?
If you’re under 18 you’ll need to be working more than 30 hours a week1.
If you’re 18 or older, in most cases your employer will need to start paying you super through something called the superannuation guarantee (SG). This includes full time, part time or casual work1. On 1 July 2023 the SG increased to 11% of your income, which you get on top of your salary or wages.
Different types of funds
Most people will be with an industry fund or a retail fund. Industry super funds are known as ‘profit to member’ organisations. This means any profits go back into the fund for the benefit of members, not shareholders.
Retail super funds are usually run by banks or wealth management companies and need to return profits to their shareholders.
If you don't nominate a super fund when you start your first job, your employer will set you up as a member of their default fund.
Understanding fees
There are different types of fees and costs you might be charged based on your investment option.
It’s important to check that you’re not paying costly fees or fees for services you don’t need. These can eat into your super savings and over time negatively affect your balance.
Learn more about choosing your first super fund Here
1 For eligibility details, visit https://www.ato.gov.au/calculators-and-tools/am-i-entitled-to-super/
This information may be general financial advice which doesn’t take into account your personal objectives, financial situation or needs. Before making a decision about AustralianSuper, you should think about your financial requirements and refer to the relevant Product Disclosure Statement available at australiansuper.com/pds or by calling 1300 300 273. A Target Market Determination (TMD) is a document that outlines the target market a product has been designed for. Find the TMDs at australiansuper.com/tmd.
