Get smart with your dollars

How smart are you with money? It appears determining how much money you will have for each year of retirement is now easier with last week’s launch of the new online MoneySmart tool.

Developed by the Australian Securities and Investments Commission (ASIC), MoneySmart can provide an estimate of a person’s income in each year of retirement as well as practical tips on how to boost superannuation savings.

Offering people “more direction” in their retirement decisions, Assistant Treasurer, Bill Shorten, claims Australians will have “better income when they retire” as a result of the MoneySmart tool.

Similarly, Parliamentary Secretary to the Treasurer, David Bradbury, says the tool will help to improve awareness of the need to plan early for retirement.

Assisting people to take those “important first steps”, Mr Bradbury says estimating how much superannuation a person will have in 20 or 30 years’ time will give someone the opportunity to do things that will “boost those savings now”.

“People often put off planning for their retirement, but the earlier you start, the better off you will be,” Mr Bradbury urges.

The online tool comes following the recent increase to compulsory superannuation guarantee from 9% to 12% as part of the Labor government’s Minerals Resource Rent Tax. Click here to read DPS News’ story on the superannuation increase.

“For someone aged 30 years old today, and earning about $70,000, that will mean an additional $108,000 in superannuation when they retire,” Mr Shorten explains.

“This will give all working Australians a fairer income and a better standard of living in their retirement,” he adds.

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