Superannuation is an important part of retirement planning, and the earlier you start saving, the more time your money has to grow through compound interest and earnings. Many working aged people are asking themselves should I use my money to live, or. Should I leave saving superannuation until I am older?

Superannuation is an important part of retirement planning. However, people wonder if whether it’s wise to delay saving for superannuation until later in life. The benefits of Starting Superannuation Savings Early can be used to your  advantage. We firmly believe that taking a proactive approach to financial planning is crucial, and early engagement with superannuation can significantly impact your future financial well-being.

It’s generally recommended that you start saving and thinking of your financial future, like creating a will or saving for retirement as early as possible to maximise your savings and ensure that you have enough money to live comfortably in retirement. For example, the power of compounding interest.

Compound interest is the concept of earning interest not only on the initial amount invested but also on the accumulated interest over time. By starting early, you allow your superannuation savings to benefit from the compounding effect over a more extended period, potentially resulting in substantial growth.

Let’s prodive an example. Suppose you begin saving for superannuation at age 25 and contribute a consistent amount each year. By the time you reach retirement age, around 64, your superannuation fund would have had more time to grow, thanks to the power of compounding. On the other hand, if you delay starting your savings until you’re older, you miss out on the opportunity for your money to compound over an extended period.

Delaying your superannuation contributions may mean you miss out on the benefits of compound interest, and you may need to contribute more in your later years to catch up. The Government also provides tax benitifs when applying more to Super. Additionally, there is no guarantee that you will be able to continue working until a later age, so it’s important to start saving as soon as you can.

Life is full of unexpected events and uncertainties. By starting superannuation savings early, you’re better equipped to navigate these challenges with financial stability. Early savings provide a safety net that can help you weather unforeseen circumstances such as job loss, health issues, or economic downturns.

Furthermore, starting early allows you to take advantage of insurance options offered within superannuation funds. These insurance policies can provide added protection for you and your loved ones, giving you peace of mind knowing that you have financial support during challenging times.


Ultimately, the decision of when to start saving for superannuation will depend on your individual circumstances, such as your financial goals, current income, family considerations and expected retirement age.

It’s always a good idea to speak with a financial advisor who can provide personalised advice based on your unique situation. We can help with this, please just ask.



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