Superannuation for the young
For most of the young (you choose what age that is), the word superannuation is associated with retirement or parents or that feeling that you can worry about it later.
Well yes your right, superannuation is for your retirement but most are unaware that you can actually use it now to help you create wealth, buy your home and protect your family and reduce your tax.
I have provided a brief list of different ways you can use your superannuation to benefit you now;
– Use your super to invest in direct shares. Even in your current retail funds you can choose where you want your super to be invested. This can be in different economies such as Asia, USA or even direct shares. This can allow you to invest in the share market directly without having to use your own cash
– Fund your personal insurances – More and more people are defaulting on their mortgages because of injury, illness or sickness. You can actually fund your Life Insurance and Income Protection through your superannuation which protects you and your family without influencing your cash flow.
– Purchase direct property – If you (and a partner together) have more than $150,000 you may be eligible to set up your own super fund where you can purchase direct residential and commercial property.
– Borrow money in your super – This may sound weird, but you can actually borrow money in your super either directly through a bank or through warrants. This increases your current exposure to the market now instead of waiting until you have sufficient funds to invest outside.
– Pay for your Financial Advice – You can use your super to fund the cost of financial advice. Even though the advice may relate to your whole situation, you can fund it using your super. This gives you an immediate benefit now.
These are just a few simple ways in which you can make your super work harder for you. You work hard enough to get the pay check and super contribution, you might as well then use it property.