Superannuation is now one of the most tax effective means of saving for your retirement. The benefits lie in the concessional tax environment inside which superannuation operates.

The maximum rate of tax on the earnings within a superannuation fund is 15%, whereas earnings outside of super get taxed at your marginal rate. This can be as high as 46.5%. Superannuation also has other advantages. These include the tax deductibility of contributions, the spousal tax rebate and the possibility of a government co-contribution.

For those approaching retirement, use of a ‘Transition to Retirement’ strategy may provide significant benefits, through tax savings and more effective accumulation of your nest egg.