Only $5 extra a day from the age of 30 turns into $105K when you retire. A little goes a long way!
We spoke with Yahoo Finance about our fantastic RoundUps feature, which transfers the loose change from everyday purchases directly to your superfund. It’s a brilliant set-and-forget feature that enables you to contribute to your super on a regular basis without having to make any extra effort.
Only $5 extra a day from the age of 30 turns into $105K when you retire. A little goes a long way! This is what it looks like:
Our Head of Customer Experience, Rachel Hamlen, explains:
Superannuation is often dismissed as something to worry about later. But the sooner you start paying attention to it in your working life, the bigger a difference it will make to your savings. The current superannuation system is optimised for those who have linear and continuous working lives, which often isn't the case for women. It has sadly resulted in women over 55 becoming the fastest growing group of people experiencing homelessness in Australia.
When it comes to saving money into your super, every little bit helps.Even the loose change you get back from everyday purchases. The magic of compounding interest means that only contributing $5 a day from the age of 30will result in an additional $104,976 in your retirement savings.
You also get a tax deduction for these contributions. Using the same example as above, on an $80,000 salary, you would get a $630 back each year. If you reinvested that refund back into your super, the impact on your retirement savings goes from $104,796 to $140,391!
It's this revelation that led us to launching RoundUps in FairVine. It's a simple yet powerful feature that rounds up any purchases you make to the nearest dollar, with the loose change going straight into your super. It's a unique, set-and-forget system that ensures you're continuously making contributions to your super without having to think about it.
The full story can be found on the Yahoo Finance website.