The secret to growing your super

Increasing your contributions

If you’re a member of an ESSSuper defined benefit fund, there are special rules about how much you can contribute. While the rules may seem complex, there’s one simple rule to follow. If you’re contributing less than the full rate, increasing your contribution rate may help you reach your retirement goal sooner. And that could mean thousands of extra dollars for you in the long run. 

Make additional contributions

If you already contribute at the maximum rate for your ESSSuper defined benefit fund, you can only make additional contributions to super by contributing to another superannuation account or fund¹. ESSSuper’s Accumulation Plan² account can be used as a top up account for members who want to make additional contributions, keep all their super in once place, and/or purchase extra insurance. 

Salary sacrificing into an Accumulation Plan could be as little as the equivalent of a cup of coffee a day, and over time that little ‘sacrifice’ could result in a big pay-off. Salary sacrificing can boost your super while reducing your income tax. Everybody’s situation is different, so check our Salary Sacrifice Calculator to see if it’s right for you³.

Don’t waste what you’ve got

A report from the ATO⁴ revealed that 1 in 4 people have two or more super accounts. It’s likely the more super funds you have, the more fees you’re paying. Plus insurance premiums may continue to be deducted and eat away at the savings in your super accounts. 

The simple solution is to consolidate your funds in the one place. By consolidating all your super into an ESSSuper accumulation fund you may pay less fees and it’ll be easier to keep track of your super in the future. 

You can provide consent to an ATO SuperSearch via Members Online. If we find other super on your behalf, you can view your search results and indicate which funds you would like to combine into your Accumulation Account⁵ - all within Members Online.

Can you take advantage of co-contributions? 

If you’re a low or middle-income earner there are some options that make contributing a little extra to super worth your while. If you earn less than $51,813 p.a.¹ and meet a few simple criteria you may be entitled to a government co-contribution. The government will contribute $0.50 for every $1 you make in ‘after-tax’ contributions up to $500. 

Contribute to your spouse’s super

As an ESSSuper member, your spouse or de facto partner is eligible to open an Accumulation Plan with us. If your partner’s income is less than $40,000 p.a. you may be able to contribute to their super with a ‘spouse contribution’ and earn a tax rebate. If you qualify, you can make an ‘after-tax contribution’ of up to $3,000 into their super and you receive a tax rebate, up to a maximum of $540 a year.  All these ways to grow your super outlined here are not exactly secrets. In fact, you can find out more about them on our website under ‘Grow your super’. Just remember, even the small amounts you gather together and contribute now, may return many times their current value to you in the long term.