In a survey of more than 2,000 Australians, Equip found that 47% of 18-34 year old Aussies are making their financial future a priority through superannuation. 

Almost half of the respondents have made voluntary contributions to their super with two-in-five (40%) doing so before their 30th birthday.

“Young Australians are thinking about their financial plans much more than they have previously,” Equip CEO Scott Cameron said.

“It is encouraging to see that younger people are prioritising their finances, and seeing value in contributing more to their super early in their careers.”

However, the survey also found a third were oblivious as to the balance of their superannuation.

How millennials and Gen Zs fared during COVID

The survey found 33% of all under 35s lost working hours during the pandemic, while one-in-seven lost their jobs.

However, 27% of Aussies emerged from the pandemic with more disposable income than before. 

Twenty-nine per cent of under 35s invested in their super or other investment products during the midst of COVID while 28% plan to do so in the near future. 

How to prepare your superannuation for the future

Young Australians are being advised to take charge of their future as early as possible by setting up extra payments towards their super. 

“The past two years have been immensely difficult for young Australians so it’s not surprising there’s a trend towards taking measures to reduce ongoing financial stress in later life,” Mr Cameron said.

“Prioritising voluntary contributions from a young age is one way people can set themselves up for a more comfortable future.

“Even allocating just a small percentage of savings each month towards your super now can bring you a step closer to a comfortable, and possibly even early, retirement.”

The super contribution base rate increase set to jump to 10.5% on 1 July and 12% by 2025.

"It is never too early to start thinking and planning for long-term milestones such as retirement," Mr Cameron said.

COVID impacting the retirement status of older Australians

A new report from the University of South Australia found that the pandemic negatively affected the retirement status of older working Aussies.

The report of 1,500 older people also revealed 12.3% of those who were not yet retired were more likely to delay their full retirement and/or make early withdrawals from their super than those who were retired.

Nearly a third (31%) of older Australians feel insecure about their financial security. 

Dr Braam Lowies, lead researcher at the university, said older working Australians need to consider improving their financial security before they retire.

“Older Australians are disproportionately vulnerable to the financial consequences of COVID-19 and as a society we need to recognise and address this,” Dr Lowies said.

“While many pre-retirees are uncertain about their financial situation, women are particularly at risk with nearly a quarter indicating that they felt worried about making mistakes relating to investments, and 20% saying that they felt nervous about planning financially for their retirement.” 


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Looking to take control of your retirement? This table below features SMSF loans with some of the most competitive interest rates on the market.

Update resultsUpdate
LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkCompare
6.99% p.a.
7.00% p.a.
$2,659
Principal & Interest
Variable
$0
$230
70%
Featured
  • Available for Purchase and Refinance. No application fee and no settlement fee
  • No monthly, annual or ongoing fees
  • Access your SMSF loan via our easy-to-use online app Smart Money
6.97% p.a.
6.97% p.a.
$2,653
Principal & Interest
Variable
$0
$500
70%
  • No fees for Refinance only (Excluding gov. charges)
  • Includes a 100% offset account and flexible repayment options
  • Build and manage your own nest egg with a Self-Managed Super Fund
7.24% p.a.
7.25% p.a.
$2,726
Principal & Interest
Variable
$0
$0
70%
7.25% p.a.
7.65% p.a.
$2,729
Principal & Interest
Variable
$30
$1,190
80%
7.75% p.a.
7.83% p.a.
$2,866
Principal & Interest
Variable
$0
$995
80%
7.55% p.a.
7.94% p.a.
$2,811
Principal & Interest
Variable
$395
$1,920
80%
7.49% p.a.
7.50% p.a.
$2,794
Principal & Interest
Variable
$0
$230
80%
Featured
  • Available for Purchase and Refinance
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

Image by Austin Distel on Unsplash





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