Everyone has an opinion about super and most of what is said is never good. In spite of that, surely everyone can acknowledge the fact that progressively Australia has built up a huge saving pool that is the envy of the developed world.
As a simple measure of what has been created and assuming we have close to $3 trillion in super spread over 12 million workers we have an average balance of $200,000 approximately.
Why Ignore Your Super?
Evidence suggests that all generations have persisted in not paying attention to their super soon enough. Our personal mismanagement of this serious asset will most likely cost every individual in Australia more than $100,000 of what they could have had with minimum effort when they originally started to work.
Most people start to pay more attention to their super in mid-life and even then they continuously struggle to know what to do with it. The overall super system and then the misinformation that occurs makes it so difficult to know what to do.
The base rationale around super seems to be that everyone involved in its management wants to make it as complicated and contested as possible. Arguably with the technology we have available, things should be a lot simpler but then there are so many vested interests in examining and managing your asset that maybe no one really wants the public to be either educated or informed.
Working Super to Your Advantage
To understand how best to manage your super, you would need an enormous amount of information in analysing the best options around product and then investment choice. There is a plethora of products available and every product makes promises around their service and their value. In essence, most working Australians are given a one size fits all solution.
If you had access to an online service which has the product analysis for you and has the ability to compare different solutions in informing you what is the best decision for your super, would you want to examine your past decisions and whether or not you have been super wise?
Personal Scaled Advice
This is a service not promoted by the bigger players in the market because it is not a high enough margin for them. They all have a strong preference for delivering holistic financial planning. Even the regulations as developed by government fail to take account of which rules should apply for personal scaled advice as a truly affordable option.
As a result, the rules for holistic financial planning are applied to anyone delivering holistic financial advice.
The Definition of Personal Scaled Advice
This is sometimes referred to as limited advice. It is significantly less expensive than holistic financial planning because personal scaled advice can provide a valuable service which limits the advice to your super account as distinct from your whole financial situation.
The benefit of personal scaled advice can be enormous as all products present a proposition which in some ways is less than transparent. Any adviser presenting their service around individual super must possess certain skills around legislative knowledge, product expertise and then capability around asset management, in particular portfolio construction appropriate to the next two year market cycle. If approached on a manual basis, any adviser will know they have limited capacity to deal with their client base, peaking out somewhere around 1500 appointments a year. That assumes they have the appropriate resources in terms of support staff and processes.
From a client viewpoint, they will obtain valuable information about product choice around cost and functionality, contribution advice and then ongoing investment advice. If established correctly the client will know their goals and objectives, the parameters of performance and then their next two milestones, a definitive feature to monitor progress and even evaluate the performance of the advice as delivered.
The world has gone a long way in such a short time as far as the potential of technology goes. All product providers do present a service but it is a product service and not a personal service. So product providers have all developed a historical record of transactions against your super and therefore whatever your balance is at any point in time. While they all boast they will either optimise or maximise super, they do not have either the service passion or even the intention to be truly market competitive on service and value delivered.
SuperWiser has been developed to concentrate on service and does so because of its design and the fact that it is available 24/7 online. Features included in the design are:
- Maintained controls around anything limited by legislation
- Appropriate product data for 40 different product offerings
- Comparison between your current strategy versus an improved strategy
- Contribution advice
- Investment portfolios for a range of portfolios suitable for the next market cycle
- All documentation as required by law
- Information to help you monitor your super’s performance against your goals and objectives
- An implementation guidance service
- All for the affordable price of $220 inclusive of GST
The service from SuperWiser does not stop there as there is no ongoing service fee but there is a system that assists you in monitoring your super once we have helped you establish what you are trying to achieve. SuperWiser will make contact with you when appropriate to adjust your strategy.
Contact us to Discuss
Look at SuperWiser on www.superwiser.com.au or call us with your questions on 1800 467 467
This document was prepared and issued by Super Simpler Pty Ltd (ABN 74 150 240 421) a privately-owned company operating as a Corporate Authorised Representative (CAR No. 468 201) of AXIS Financial Group Pty Ltd (ABN 21 092 889 579, AFSL 233 680). The information contained within it is not advice. It provides general information only and does not take into account your individual objectives, financial situation or needs. You should assess whether the information is appropriate for you and consider talking with your financial adviser before making an investment decision. Information in this publication, which is taken from sources other than Super Simpler, is believed to be accurate. However, subject to any contrary provision in any applicable law, neither Super Simpler, nor its employees and directors, provide any warranty of accuracy or reliability in relation to such information or accepts any liability to any person who relies on it.