Super surge: Aussies’ retirement savings to soar with new SG boost!

As Australians navigate through the ebbs and flows of financial planning, particularly in their golden years, it's heartening to know that the system sometimes offers a helping hand.

For our members, there's some good news on the horizon: a recent uplift in the Superannuation Guarantee (SG) could see your retirement savings swell significantly.

This development will ensure a more secure and comfortable retirement for many Aussies amidst the cost-of-living crisis.


The SG is the mandatory contribution employers must make to their employees' superannuation funds.

It's a cornerstone of Australia's retirement system, designed to ensure that every working Australian has money set aside for their later years.

From this month, the SG has increased from 11 per cent to 11.5 per cent, and it's set to make a noticeable difference to your retirement nest egg.


compressed-shutterstock_174966500.jpeg
The Superannuation Guarantee for Australian employees has increased from 11 per cent to 11.5 per cent this month, promising a boost to retirement savings. Credit: Shutterstock


Let's break down the numbers: The Treasury Department has crunched the data and estimated that this change will boost the retirement savings of an average worker earning $72,000 a year by an additional $21,000.

That's a substantial sum that could cover several years of utility bills, a few grand tours around the country, or even a new car to enjoy in retirement.

However, the increase doesn't stop there. The government has a roadmap to progressively lift the SG from its current rate to 12 per cent by July 2025.

When you consider all the incremental rises from 10 per cent to the eventual 12 per cent, the average worker is looking at an extra $64,000 in their super fund by the time they retire.


According to Treasurer Jim Chalmers, ‘Wages growth and tax cuts are putting cash in people’s pockets now, and our increase to the super guarantee will put cash in people’s pockets for the future.’

‘This will make a meaningful difference for millions of Australians who deserve a dignified retirement.’

‘The superannuation guarantee has increased three times under our government and this means an extra $64,000 at retirement for the average worker,’ he added.


It's not just full-time workers who stand to gain from this increase. Part-time workers, who often juggle multiple responsibilities and may not have as much saved for retirement, will also see a boost.

For example, a 35-year-old part-time shop assistant could find themselves with an extra $5,000 in their super fund by retirement, thanks to the 0.5 per cent lift.

The superannuation system, introduced by Prime Minister Paul Keating in 1992, has been a game-changer for Australian retirees, ensuring financial security and reducing reliance on government pensions.

It's a system that many countries look upon with envy, and it's a testament to forward-thinking economic policy.

As Treasurer Chalmers proudly stated, ‘Labor built Australia’s superannuation system; we are proud of it, and we’ll always fight to strengthen it.’


As Australians anticipate this positive shift in their superannuation savings, it's essential to remain vigilant about potential risks.

With the increase in superannuation benefits, there has also been a rise in fraudulent activities targeting retirees.

Therefore, staying informed and cautious about super scams is more crucial than ever.
Key Takeaways
  • The Superannuation Guarantee for Australian employees increased from 11 per cent to 11.5 per cent this month, promising an additional retirement savings boost.
  • An average worker earning $72,000 is forecasted to gain an extra $21,000 for their retirement due to this increase.
  • The government plans to raise the Superannuation Guarantee progressively to 12 per cent by July 2025, which could result in an average worker seeing a $64,000 increase in their retirement savings.
  • Treasurer Jim Chalmers highlighted that the boost in the Superannuation Guarantee will contribute to a dignified retirement for millions of Australians and emphasised the commitment of the government to strengthening the superannuation system.
Have you noticed an increase in your super balance? Are you planning to adjust your retirement strategy in light of these changes? Share your experiences and tips in the comments below.
 
  • Like
Reactions: Ezzy, BJM and Fjk
Sponsored
Never had these handouts when seniors were working, did it the hard way. Now they are attacking those who managed to secure their own future, taxing those that are not even asking for a pension.
 
  • Like
Reactions: Ezzy

Join the conversation

News, deals, games, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.

Seniors Discount Club

The SDC searches for the best deals, discounts, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.
  1. New members
  2. Jokes & fun
  3. Photography
  4. Nostalgia / Yesterday's Australia
  5. Food and Lifestyle
  6. Money Saving Hacks
  7. Offtopic / Everything else
  • We believe that retirement should be a time to relax and enjoy life, not worry about money. That's why we're here to help our members make the most of their retirement years. If you're over 60 and looking for ways to save money, connect with others, and have a laugh, we’d love to have you aboard.
  • Advertise with us

User Menu

Enjoyed Reading our Story?

  • Share this forum to your loved ones.
Change Weather Postcode×
Change Petrol Postcode×