Will your super be enough for retirement? Part 1 | 7.30
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- เผยแพร่เมื่อ 5 ก.ค. 2024
- Chances are that unless your retirement is looming, you haven't asked yourself in detail how much money you'll need when you stop working.
Most workers automatically have their super deducted and locked away until they reach their sixties ... and because the money never passes through your hands on its way to your super account, it can also feel like it's not really yours.
For years, there have been serious questions about whether the superannuation system to which many of us pay scant attention until we have to is really looking after our money as well as it should.
In the first of a three-part series, 7.30's Geoff Thompson looks at the origins of compulsory superannuation and investigates who it's failing.
Part 2, click here: • Is your superannuation...
Part 3, click here: • Is self-managing your ...
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Costello: Keatings plan was stupid, and unnecessary. We just left the schedule as it was.
*next breath*
Costello: Compulsory employer contributions are not enough.
What a tool. If he’d allowed keatings plan to go through, compulsory employer contributions would have been enough. But that would’ve hurt their donors, wouldn’t it?
Costello regrets not trying to make Super cheaper
So take responsibility for yourself, legend. Don’t ever rely on government to handle your business. It’s your responsibility, not theirs.
Even at 12%. If you only do that, it’s still not enough. You need to take care of it yourself.
If you are not interested in where & what your money is doing, then you deserve the results that you get. It’s your future, why would you ignore it!
Super was introduced just before I started working. I was told then that there won’t be an aged pension by the time I retire. After 30 years of working full time I now am heading for a 7 figure amount with the mortgage paid off. I don’t work in a high paying industry but I have always followed it, understood it was my money and planned for it all my life. While we will need other sources of income such as part time work possibly and income from property rental and share holdings we will be comfortable and secure as these were planned for long ago. Would I have saved this much without compulsory super? Maybe but I doubt it. Compulsory super was great foresight by the government at the time. People who have worked all of their lives and taken note of it will be duly rewarded. It’s called delayed gratification.
100% at 40 im already higher than the next age bracket by 100k however if you take into account wife not working it places us both at median for our age bracket.Salary sacrifice guys no matter how low your income.
My husband and I are in the same boat as you David. As the old adage goes 'If you fail to plan, you plan to fail.' We started planning in our late 20's and now in our late 40's are carrying no debt on credit, mortgage, personal loans or car payments. We are actively planning for a financially secure retirement in the future. I cant understand someone getting to 69/retired and still owing the bank for the roof over their head. It can be done but does involve focusing on the future early, avoiding a crippling mortgage, consumer debt, sticking to a sensible budget that puts away part of each pay check for the future.
A 7 figure? Wow, really how?
@@NaokiIto-oj3sg 40 yrs of working continuously and careful investing and living within our means.
@@NaokiIto-oj3sg compound growth
Speaking for my generation- we don’t care what money we get at possibly 65 or 70 when we can’t buy a house or property now.
You can thank the Liberal Gov, slashing capital gains tax, letting SMSF purchase property.
selilatte while that maybe - and I would say is part of the issue. I don’t think it’s fair to say that any one single thing created this issue. It’s a good number of factors, that all need to be addressed.
Exactly right, you ain't working for no old guy (you in the distant future), you're working for a life of your own. What sort of society are we breeding when the kids need to wait for the parents to die and leave them a house before they can have a life of their own?
Amadd That’s the big question though really in my opinion. What sort of society do we want to be? A more balanced or less balanced society. At this point I don’t think enough people are asking that question, whether from a government or civil perspective.
Steve Frankes there are always a number of factors in the matter. And yes, that’s one of them. It’s just not the only one
Robin looks young for over 80.
Superannuation simply assumes that you have also paid off your own home by the tine you reach retirement age. This simply hasn’t happened for most.
That’s their choice in life. They are responsible for thenselves
I'm glad we have super but as the video said it needs refining. In the same way we had a royal commission on banks and their practices of gouging clients with immaterial fees so too does the super industry need a smack down on robbing the country of its savings and chance of having a self sustaining ageing population.
I am 35 in 2019. I honestly don't care how much super I have and what super fund it is with. I just don't believe it will be there when I retire (they will raise the age limit to 70 or 75 by then) . It will be wiped out in several crashes. If anything left, I doubt it can buy anything due to high inflation.
So spot on mate. By the time you get something if not anything you'll be dead.
You should look at the performances of global markets over the past decades. Even with accounting for the crashes, it always exceeds the earnings in a savings account. Also when factoring the tax advantages, it's even more worthwhile.
Richard Minh Le This is such a foolish view to take. Crashes happen, but the long term trend of the markets is up and has been for a century now. While price inflation a thing, investments do outpace it, so the value of your money grows in real terms. Legislative risk is a problem (the preservation age being raised), but it’s likely to move from 60 (what it is now) to 70-75 by the time you retire, and you can easily counter this by having some investments outside of super to live off between retirement and reaching the age you can access your super. Don’t sleep on your retirement savings, it’s important and entirely up to you to take control of. You’ll regret it later if you don’t.
iL1keTurtlesPoker I think it is foolish not take this view actually. When I retire in 40 years. this Aud currency will be long gone and revalued at least once which will destroy my super. The inflation that will come to wipe the debt away will also wipe my super away. To trust my super to be there I have to trust the policians to be honest and have my best interest at heart. Unless you have been sleeping under the rock, you know it is a fantasy. Not relying on super i have already built a strong positive cashflow real estate portfolio that is far more superior and reliable than a mere promise.
That's going to be the case only because the past governments cant agree and have poorly managed the whole super investment deal...the liberals just tried to squash industry super and give the banks the default fund position ...Costello just admitted he did nothing for super just left it to fail as labor set it up and he wanted it to fail...the problem as usual is politically motivated
The simple reality is that super in one form or another is here to stay. People can moan, bury their heads in the sand, delude themselves that super will suddenly vanish, but, those same people will probably be the ones on a current affair program in the future complaining about eating cat food during their retirement.
I didn't like Paul Keating and didn't vote for him for PM.....but I can't thank him enough for introducing compulsory Superannuation. I wouldn't have saved anywhere near what his compulsory Superannuation has provided.
When i started working at 18 i started thinking about retiring. I want to pay off my house and quit working. I have never gone on a holiday and saved all my money. :) YOLO is a really bad way to think about life. When i retire sometime in my 40s i will be living stress free :)
I HOPE that this never happens to you, but I will tell you a story. My father saved and saved, putting a lot of extra money into Super. He semi-retired in his' early 50s. Seven years later, he was dead from renal cancer. It took six months for him to pass away, and every day he was angry that he didn't live life more.
Hope your stingy life is paying off and feels fulfilling defective
Ive just watched this and since Im learning all about investing in depth now, I can say superannuation is great! It forces all of us to become investors and get passive income
from it but the problem
is we aren't educated enough about it. I say educated enough because we are aware but people don't dwell on it much as it is complicated. Even now when I teach my friends and colleagues, they are so overwhelmed to the point where I have to also read the PDS of their own super. I am passionate teaching them about this but the issue is you need to learn it too as it is your money.
Barefoot investor by Scott Pape and Ashley Ormond’s books are great for Australia.
Check out the FIRE movement and the 4% rule of thumb too
Good luck!
It's actually amazing that Australia is forward thinking enough to make retirement investing mandatory for all. The problem is, perhaps the financial literacy is not enough, or they don't get educators who are making it seem exciting or relevant enough for people's lives. if they can get better communicators about how important this is and how people can become millionaires through simple but consistent action, you can get a whole country of people retiring to dignity, wellness and security instead of insecurity and possible destitution.
Who put there hand in the cookie jar? Peter Costello put his fingers in the cookie jar.
Australia really needs to look at educating people on money , and more specifically superannuation,the lack of knowledge hear is scary
Let’s not forget that politicians have a brilliant retirement plan and really don’t care about the rest of us.
Super is still awesome by world standards. You are welcome to grab the bull by the horns or sit back and be a victim
Turned to SMSF and become 100% active in managing ur money
I’m 33 and I pay a lot of attention to my super. Already changed the investment option percentage of my super and looking into voluntary self-contributing to my superannuation. I’m also saving for a house deposit and still considering if I should also save for my first home within my super. I’m paying a lot of attention into saving because I started my career quite late as I spent years getting my postgraduate degrees. I’m living at home with my parents to help boost my saving and will likely rent out my first house, when I do buy, to help pay off the mortgage ASAP.
wait until the housing market crashes to buy and you will be just fine ;)
Good plan. You are smart saving up while living at home
stop looking for wine in your 80's and start looking for a root
@@NoellaNix looking from 2021, it was not a good plan
She looks fantastic for 81!
Robyn Dougherty is the youngest looking 81 I've ever seen
Super is the best retirement scheme we have available. Personal savings over a working life is the only realistic hope of retirement. But we need government to be less restrictive - less tax, no limits, simpler rules.
No it not, it a left scam that shrunk your wages 31 yrs
There has to be limits.
Ah so that's where the term "fat cats in suits comes from"
Choose your superannuation wisely NOW!(a low cost one is the way to go) And SAVE UP NOW!(make contribution to your super) Future you will thank yourself.
Costello- "they can't access their superannuation for 20 or 30 or 40 years ".... unless of course you're a politician. I wonder when the next GFC hits if retired politicians super will take a hit like ordinary Aussies did in 07/08.....hahah.... I doubt it.
Add fees even for lower cost industry funds to so called low taxes in super and the effective annual impost would make investing outside of super more worthwhile for average income workers.
Any pot of money sitting around for 30 or 40 years is going to be gouged by opportunists and many people will not live to collect their super.
I'll say what I always say, I'm not betting on it, but it'll be a welcomed bonus if it works out.
Okay, this is a terrible way to look at it. I'm going to switch some things up.
ABC! do a story on why insurance cost per year you have to pay with your super fund are between 500/800 per year and how the insurance company's through up every loophole under the sun to stop you making a claim
Drop that shit. Make your superannuation fund eliminate the insurance component- I did.
Insurance isn’t compulsory with your super. If you don’t want it just opt out.
@@rozzat8089 TPD is compulsory or apart of all super funds its the lope holes that the underwriters exploilt that I am complaining about
TPD cover is often available through a super fund, but, you aren’t required to have it. It’s not “compulsory” or something you “have” to pay with your super fund. That’s my point. As for the claiming on insurance policies, I couldn’t agree with you more! That’s another Royal Commission to add to the list.
Love your avatar...
In the 1980s, the experts said worker's, needed to salary sacrifice at least $170.00, a week, that was more than half my weekly wage, considering that my yearly income was $16,000, before tax, just another scam, set up by the government, for their rich mates.
Experts were wrong werent they.
10% (minus 1.5% tax) for 50 years is a big snowball of wealth.
Lots of scammers in the super industry to be sure. But it’s easy to find out how your super fund tracks with that or get help.
In July 2005 [i.e. as Soon as I could] I moved my super to a high-risk/growth portfolio [with a major-name-company] : Between then and now my super multiplied by FIVE-Times - and contributions were not very significant in that multiplication.
I am hoping that retirement is only that far away - i.e. 14 more years and that it will again multiply by 4 or 5 times.
I will easily have my house paid-off before then - and I only bought it in 2006.
As you can see I got my shit together, and took responsibility rather late in life, around 2005/2006; and only expect to have to work 28 years from that date, but I think I will be alright.
TAKE RESPONSIBILITY!
Luck you not everyone knows much about the stock market nor anyone can guarantee a high return.You were lucky but it could have gone the other way and loose your money or portion of it.We've seen stock market crashes in the past imagine you have a million dollars and market crashes just before you retire what would you do then.I believe since government made it compulsory then they should take care of a guaranteed super payments per fortnight similar to pension when the person retires until their death.If people want to invest their money on stock market or property they can but not with their super money since it's not a guaranteed return.
Í retired this year at 58 year old. My husband is 63 and we are self funded retirees. Í worked as a hotel cleaner for 25 year raising 4 children, and my husband was a factory worker. We always lived within our means. We invested for retirement by making voluntary contributions, own our home and investment property. We educated our children accademically and financially. We have saved enough to never rely on the pension in our old age. People have to start taking responsibility for their own lives. It is possible if we can do it so can anyone.
@@mehmettemel8725 he took responsibility for himself and his future. Using language that reads as if you’re a victim isn’t going to help you
@@mehmettemel8725you move to less risky accounts and investments strategies closer to retirement so you don’t lose it all.
And I never had a full time job and still can't get one.... it's just impossible to think of sustainable retirement.
The ABC just continues to come up with ridiculous case studies of people who have never paid off a house way into retirement, how the hell does that have anything to do with Super. I get so frustrated with ABC reporting as they need to cover the rorts of Super companies and how the whole investment strategy is so risky in the first place and not people who at 70/80 don't own a house. That is another story for gods sake!
Gregory Leake I agree. The super system is far from perfect and more heat needs to be placed on companies who administer it. But for many people it has caused a really good retirement buffer. People also forget that it is on top of your normal salary
The ABC loves victims.
You mean will you live until you're 67 and eligible to access your hard earned money......I'd rather get that money WHENEVER I want because it's mine, don't know about anyone else.
People need to understand how super works , its just like a share portfolio the more money you put in the more it earns.
lol super...the super guy has taken just about all of it for his Christmas parties ...
I don’t think people have enough money now to do things they enjoy what use will it be when you get to retire
The fees are too high - I'd prefer to place that money into an index with low fees
many super funds have an index option and it's a good idea to switch to it, eg Australian super or sunsuper
I think barefoot recommends hostplus?
I'm 34 and have absolutely nothing now, do you think that when I'm 70 with no super, no savings and receiving the same amount in government payments that I do now that I'll care anymore or less, have a different outlook or attitude than I do now, paying rent, having about $100 per fortnight for groceries power telcom fuel rego repairs health and the rest? Super isn't killing me, nor anyone else, it's debasement
SUPER?? Its Super for Wall Street, thats about it!
We should be able to get access NOW to help purchase a Home.
That's a terrible idea, it will push the price of houses up even more.
You can... It's called the First Home Buyer Super Saver Scheme.
@@zacharyevans2239 Thats not what i said. A savings account is useless, you should be able to use your EXISTING funds - Its YOUR money FFS.
@@Cards36555 But you can use your super to help purchase a home... It's the FHBSSS
Chris Gantert at the moment Chris there is a housing glut because people are unable to buy houses and because of that house prices are crumbling , so it’s not a bad idea if house prices are pushed up
In 30-40 years when it’s time for mellenials to retire $1million in super will be peanuts after inflation reality is we will need much much more than that in the future. Vast majority of funds make poor return and charge high fees. It needs serious reform.
Your super is also at risk by future taxation , retirement age changing to 80 years plus (already talks about these changes)
Assuming you make 30k per year (min wage), your super payments will be 10% (average after future increases). Super is very likely to grow at 5% (at least) annually over the next 100 years, assuming an inflation rate of 2% in 45 years (retirement age), this person will have 412k in inflation adjusted gains (690k pre inflation). The average retiree might spend 20 years in retirement and will be able to withdraw 27600 dollars per year (inflation adjusted and tax free). Considering that by retirement, most people wont have a mortgage payment, the poorest Australian will be able to travel the world in their retirement without comprimising on quality of life, and will be able to give their children/grand children considerable amounts of money (equity on house +remnants of retirement savings). Seems like a very very very good plan to me (especially when you compare it to other developed countries) (literally no other developed country offers better retirement).
The poster above was even very conservative with their numbers.
And why would you knowingly not contribute more or work on a retirement wealth building strategy outside of super?
Plenty of info about how to get started out there
Save with an industry fund, never let a shareholder grab your super, simple! That aside, remember as long as we don't let corporate govt rule our society we have pensions and public housing. Save a million, that's OK if you own a home, but if not, as long as the greedy corps are kept at bay every generation of Australians will have a safety net. Don't listen to naysayers, there's always a path as long as we keep the ethos of fairness.
With the current economic state, we should be able to use out superannuation to purchase property and vacant land, there's no better investment atm!!
Will your super be enough for retirement? - How long will i live?
Superannuation should have been a sovereign fund. Can't expect every citizen to be competent to manage their superannuation.
THEY HAVE A PLAN FOR SPENDING OUR MONEY. BE CAREFUL!
Guarantee the people in this story wasted their money during their working years
Thankyou for you comment, finally! Seriously, you how could you work 40 years plus and still have to rely on a pension. From the day you start work you should be contemplating the day you finish work...but I see people everyday spend every cent they have. They are usually the ones who hate the government, then come to be a burden on government at the very end.
80 year old Robin is holding a Louis Vuitton bag. I don't know if it's a fake, but odd to think someone on the pension could have that. I don't want to judge too quickly since it might be her last expensive item and it might be nice for her to hold on to it. But I think crap like that is where a lot of most people's savings go
One of my friends is self employed and has contributed nothing to super not even the Guarantee, he is 61 and has nothing saved...he has to wait no till he is 67 to get the State Pension, which isn't much. Other friends have been investing into personal Super funds as well last the Super Guarantee and have many millions saved. I mean Super speaks for it self...other than that we would be spending the money we earn on crap.
Robin's got a nice LV bag for a homeless person
7:49 - The future of all millennials captured in a single sentence XD
But we are what we think, aren't we? The benefit of being a millenial right now is you can see how things started and going. There's still a way to turn it around as an individual. But I got your point too. If only the now is enough, we wont be bothered by the future that much
If I had all the money I have given to CPP over 48 years, I would certainly be able to retire with a lot more than I can now!!!!!!!
I have less than ten years before I retire and get the aged pension. I don't have any assets so I will have to survive on the pension rate.
Will your pension be enough including rent?
How do you get to be 57 and have no super and no assets ,please explain cheers
So Labor set up compulsory superannuation (I think it was a great idea) but now Bill shorten and labor want to dip into the super nest eggs people have.... sounds like double dipping to me. Happy for people to explain if this isn’t the case.
Trillions of dollars just sitting there… politicians have the keys and the inability to balance a budget. Always easy to attack successful Australians for tax to cover their uselessness.
Always pay yourself 15% from your wage or salary each week or month into your savings account or better still into your super account. Watch magic happen with compounding interest. Start as soon as you start work in your teens or early twenties. Good luck.
Not allowed to talk sense on abc TH-cam videos, the "reee" flows too strong here.
Yip Evan is spot on, you are going backwards even at 2-3%. And probably more if you factor asset inflation and low wage inflation. Best bet is investing in one's selve if you are young. If you are old remove all you investment positions so you at least don't stand to loose 50% in this next crash. We are in for a Rocky road and I doubt AU will dodge this next downturn especially if china's debt bubble pops.
Compounding interest that was more than 20 years ago you get peanuts these days.
@@mehmettemel8725 What are you talking about (,more than 20.years ago)
@@gregstephens361 The interest rates were high back then and approximately around 10% now it's around 0.3% so good luck on accumulating interest till you retire.Whether your'e in a super fund or SMSF interest on cash evaporates by the time the funds take their fees and alternatively in the case of SMSF by the time you pay accounting fees,ASIC fees and auditing fees you lucky to keep your money at same level.If you don't know much about stock market like me best thing is investing in property.
That 80+ lady looks fab
I was stupid I had my super in the GFC with Citigroup and lost 8k , no letters or notifications
I hope you left it invested though? Would be worth triple now
There is no doubt that the LNP so not like superannuation for the general population - though they love it for themselves. As they said in Animal Farm - all animals are equal but some or e more equal than others
Yeah Government. Put the retirement age up so we can’t enjoy our retirement. Work to you drop dead!!!
That’s not Paul Howe’s - it’s Chief Wiggam.
So wrong, Australia has one of the best systems in the world. The annual age pension for a single person is about 23K a year, this is very low and has to be supplemented by super. The older generation doesn't benefit from it now because super became compulsory only later in their lives. It totally makes sense that a small portion (9%) of your salary is put away to support you later in life. Nothing in life is free and people need to take some responsibility for their own future. If you spend everything you have during your working life - off course there's not much left at the end.
Ur an idiot
Mate you are joking...
We are always told what to do...
It is always a set up..
If you dont know that by now,
Then you are one of the people that are blind and think its all good
@@manlawrence7986 Maybe I am blind to but my self managed super is returning me $380.00 a day 7 days a week ,and even have to get out of bed ,it’s basically you investing in the stock market ,hardly a government conspiracy
I already know it's not
Super is the government telling people they are too stupid to save, similar to a parent keep a portion of their pocket money for saving. I'm not a child and I want my super back, so I can invest it how I see fit.
It wont be enough. Invest outside of super in total stockmarket ETF.
Is it better to invest offshore altogether?
Whats the point you would just get taxed more. a self managed super fund allows you to pick your own stocks and that anyway.
FYI you can select the total stock market option in your Super too.. sunsuper and Australian super all have this option.
You can contribute more than minimum…
A big problem was when the govt brought in the old age pension, there was no thought into how they were going to pay for it. This was probably because life expectancy in Australia didn't reach 65yrs until the early 1950s and was the first, first world country to reach that life expectancy. But when it did, surely the govt could have prepared for the aged pension but no.
Many Gen X people have been paying super all their working lives and even added extra but will still be struggling to live of it a few years into retirement.
I'm 51yo now and have worked for the same govt body since I was 18yo. I remember the superannuation people giving a talk in our work place. For someone like me they were mentioning figures of $1.5- $2million I'd have in super. I will be lucky if I hit 500k when I retire between my wife and I, plus i have put extra in through salary sacrifice. My wife has super but alot less than me. If I pull 50k a year out, it's not going to last long. Life expectancy is 83. What happens when people's super runs out or not enough super????
Not a well thought out plan and super companies aren't monitored for all the dodgy fee's they take out.
For those of us that didn’t have super all our lives the expectation seems to be we spend the super after 60 until we get to 67 + and the we get the pension….
Trust me, I was a senior govt finance officer, I know about ways and means, unless there is a major catastrophe, life is safe in Aus. Govt politicians maybe self serving but your public service is not. We always have ways and means to put a stop to their brilliant ideas, yes minister.
That might have been the case in the past but our pensioners are suffering today, no one can predict the future and its not looking too good
The truth is, you would need to contribute 18% of your wages for the whole of your working life with no interruptions and no early payouts for hardship if you are really going to support yourself in retirement without additional government pensions and support.
A complete and utter pipe dream we have all been sleep walked into with absolutely no “Plan B”.
Have you actually read any books on the topic or sat down with a financial advisor to tell you this?
18% minimum I’d say. What’s stopping you doing 25%?
At least half of the super is exposed to stock markets because people leave the default investment options.
Easy solve , self manage your super ,with the help of a good accountant
It’s a shame it’s only half, especially when someone is young. SP500 index all the way
Why don’t you just upload this as one video it’s not 2010
Trillions of dollars which is promised but will never ever be delivered.
Why?
Because there just isn’t that much actual real money anywhere in the world.
How is that so hard to understand?
The stock market is real ,you can make good money , super is investing in the stock market ,simple as that
i dunno why u australians are complaining but superannuation is the most amazing thing iv ever come across.......a fund thats worth nearly 2.7 trillion today......tell me what other soverign wealth or pension fund in the world in any country is close to that size.....superannuation is worth an average of $200k per citizen.....of course its not evenly distributed,people in their 20s and 30s havent been working for long but, if u simply stay employed u would easily reach that amount by ur 50s.......200k i highly doubt any country in the world has close to that amount waiting for them in their retirement accounts......
superannuation has achieved a return on average of 7 to 8% over the last 20 years......
compared to that crap my country has .....CPF, a contribution rate of nearly 36% yet half wont even reach the target of 165k when they retire.......its return is only a crappy 3.5% to 4.5%......
The ones complaining about it are the ones who
Don’t understand it ,and haven’t botherd to educate themselves ,and there is no excuse for that these days ,there is a wealth of information on these posts
@@gregstephens361 absolutely correct. No excuses at all theses days. It’s never been easier for the average punter to get involved with investing. 100 years ago, it was reserved for the wealthy. Different world now
Super is complex because it boring. Get involved and understand it. Please.
It's all a scam. Had to use my super for medical after Workcover completely failed me. If I wasn't self managed it would have been near impossible.
super? hahahaha what super?
eruptionxfangblazer not so SUPER!
why the hell did they interview costello about super when he never even brought the policy in, it was brought in under Keating
You are not suppose to retire it’s was a scam to start with
x y what?
No one is supposed to work into their 70s or 80s or beyond. I will retire, eventually.
The government can take your super anytime it pleases thanks to the bail in laws. I don’t see any super for anyone in the future.
Please explain your bail in laws ,new one on me
Greg Stephens how about you look it up. The time you wasted typing your stupid response could of been used to type into google and learn something.
@@gregstephens361 bail outs happened with the GFC.
Bail out = government covers a bankrupt bank.
Bail in = if the bank you have your savings with goes bankrupt, your savings are used to keep the bank from going under.
Has happened in Cyprus and Italy many times the last 12 years. you wake up in the morning and your $10k savings is now $1000 and $9000 was turned into bank stock and then instantly worthless because it went bankrupt.
Only happen if the bank goes bankrupt. Australian banks have had higher capital requirements over this time, but our government signed this same thing into law too. Not spoken about. The $250k bank guarantee is what came out from it. But what that means is hard to know given previous history with state bank of Victoria. Would be $250k paid over 50 years at $100/monyh
Only in Australia could someone be homeless and not realise it
That one might get on the TH-cam under only in Australia , was she bloody serious
81she looks young
Hope I look that good at 81
It's a rip off, no one can safe enough money with saving only 10% a year to get 20 or 30 years with a full salary in your retirement
Yes you can ,your money in super will be subject to compound interest ,
A 30 year old with $50k in super earning $85k a year increasing payrises of 2% a year until retirement at 67 will have somewhere between $5.5m and $6m. That’s $2m in todays money if inflation averages 3%.
That’s enough to keep living on about $75-80k a year (after tax) for 30-40 years assuming it stays largely invested.
If the 30 year old had no super and was just starting, it’s $1.3m in todays money. You’d run out of super around 85 if you still wanted to live on $80k after tax. But if you lived on $60k after tax, which is only slightly less than you’d have been earning up to retirement after tax, it’d last you 30-40 years.
All numbers adjusted for inflation.
If that super is not converted into precious metal or real hard investement inflation will catch up with and will depreciate. 100k nowadays is peanuts compared to 25 years ago.
Super growth exceeds inflation over time. Even if it can be a bit volatile.
Poor Robin, only enough pension money to buy one louis vuitton handbag.
Mate well spotted. I thought she had one of them.
Never paid attention much attention to super and probably never will.
I was always brought up to invest in tangible assets such as property, and create your own wealth that you can do what you want with. Worked out great for my parents, is currently working out great for me. And I don't have to wait until someone else tells me when and how I can use my wealth. But I guess its good for all the little worker bees 🐝
Peter Costello
What a joke , Remember affordable housing that was before gst , and the Howard government .
Anyone under 40 should not worry about super. There's no chance you will ever see any of it.
Why
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Really the case in this series is 69??? Really??? He looked like >75 yo OM. HAHAHA For the age issue, I ain't that dumb. Must be 73-75. Looks much older than my OM.
I am an unemployed millennial, I have University education but no job, I have health issues and I guess will not live to an old age.
This is extremely political. It’s obvious there’s a political agenda in this video against super.
the whole idea that i LEGALLY have to entrust some rando corporation to "invest" in my money is completely ridiculous
compulsory super only makes sense if theres a long term employment contract in place, otherwise if your employed for short period over long times, then every cent "invested" goes completely to waste
4:15 yeah back then it seemed to make sense, we manufactured things, and had plenty of long term employment to go around, not these days
@@PhunkBustA Question - how so ,please explain
One trillion of supposed retirement fund had been transferred to usa, purportly an investment on infrastruture spending, is aussie that dump ? You are not going to retire in comfort dummy.
Super the biggest scam in history
At the very least introducing a Block on Superannuation Fees when people are Unemployed or Injured for more than a Month, would stem a tonne of blood loss immediately!
Little tweaks can save people & if we don't really give a shit if people end up on the Aged Pension, then we need to start RESPECTING our Aged Services, knowing dman bloody well the majority will never be able to afford anything else but Public Health services & care!
And that requires investment!
LET'S BE HONEST!
SUPERANNUATION WAS DESIGNED TO GET EVERYONE ACROSS THE SAME FINISH LINE SO WE DONT HAVE A BUDGET BLOW OUT WITH THE AGED PENSION!
THAT IS NOT HAPPENING IN THIS CURRENT ARRANGEMENT, WHERE THEY CAN DO WHATEVER THEY WANT!
AND IT'S NOT GOOD ENOUGH TO JUST SAY: "WELL ONLY THE POOR PEOPLE WHO WERE RIPPED OFF IN THEIR SUPERANNUATION WILL BE ON THE AGED PENSION, SO THE NUMBERS ARE REDUCED!"
NOT GOOD ENOUGH!
JUST IMAGINE IF THE WEALTHIEST PEOPLE IN AUSTRALIA WERE BLEEDING MONEY FROM SUPER OR INVESTMENTS AT THE SAME RATE POOR PEOPLE ARE!
THERE WOULD BE A REVOLUTION!
IT'S NO DIFFERENT BECAUSE SOMEONE HAS A SMALLER BANK ACCOUNT!
THEY FEEL THE SAME OUTRAGE!
IF SOMEONE WITH $20 MILLION IN SUPER, LOST ALL BUT $1,000 OF IT, THERE WOULD BE A FKN BLOOD BATH!
MEANWHILE, POOR PEOPLE ARE GOING FROM $20,000 TO $100 AND EVERYONE IS COMPLETELY COOL ABOUT THAT!
THE GOVERNMENT CAN STOP SUPERANNUATION COMPANIES FROM TAKING MONEY WHEN PEOPLE ARE UNEMPLOYED OR INJURED FOR A PERIOD OF TIME, IT'S UNACCEPTABLE TO STILL TAKE FEES, HIGH OR NOT, FOR SOMEONE WHO CANT ACTUALLY MAINTAIN THE SUPER ACCOUNT SO IT DOESNT ALL VANISH ON FEES BECAUSE THEY ARE SICK OR OUT OF A JOB OR REDUNDANT!
@@bullterror5 I agree totally but how to achieve this is a sticky one ,the super companies are still managing your money while you are sick or what ever ,, my question is should they be paid if they are still managing your fund ,perhaps a mates rates clause or subsidy
completely do away with super.
Shane Dawson why would you do that?
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With the current economic state, we should be able to use out superannuation to purchase property and vacant land, there's no better investment atm!!
You can.