Some of you may have heard about the Government co-contribution for superannuation. Basically, this is a Government benefit that matches your contribution to super (dollar for dollar) if you satisfy certain age, employment and income criteria.
We know that superannuation is probably not at the top of your to-do list at the moment (nor is it the world’s most interesting topic).
But you should probably know that the Government is changing the eligibility criteria for the Government co-contribution in the 2012/13 financial year, which means the maximum income threshold for the Government co-contribution is going to fall from $61,920 to $46,920 (a drop of $15,000).
This means that you may miss out on being eligible for this benefit next financial year. But you still have 2 weeks to take advantage of this potential 100% return on your investment for 30 June!
To put it in context, if you contribute $500 this financial year (assuming you satisfy all the criteria), you will receive another $500 from the Government. Assuming this $1,000 earns a rate of 7.0% p.a. for the next 30 years, your initial $500 will increase 10 times in value.
It really is money for jam.
Trish Power from Super Guide has written an excellent article this week on how this all works (which we have included below).
Want to make 100% return on your money in 2 weeks? - SuperGuide - 14th June 2012
If you have any questions about this or wish to make a contribution to Super before the year, feel free to email us at email@example.com or call (02) 9324-8888 to speak with your PSK Financial Adviser.
Enjoy your weekend guys
- Michael @ PSK