ANZ Smart Choice Super

Superannuation, or 'super' is one of your most valuable assets. Most working Australians have a super account. Super is money that is put aside and saved in a fund in preparation for retirement. It is part of the Australian pension system designed to give you a regular income throughout your retirement once you stop earning a wage.

The Superannuation Guarantee means your employer pays 10.5 per cent of your salary (FY2022/23) into your super account throughout your working life. There are also tax incentives for contributing extra via salary sacrifice or personal contributions. Having a good super account which doesn’t charge high fees, helps you make the most of the money you’ve worked so hard for.

• Read more about what is superannuation and why is it so important? 

Want to reach your financial potential in retirement?

Let's start by understanding the ins and outs of your super, what you're entitled to and what you can do now to grow your super. 

The term 'superannuation' might be an unfamiliar one, as Australia is the only country that uses it. In other countries, it's usually known as 'pension'.

Superannuation is managed by a superannuation fund, which is an organisation that can hold, manage and invest your super until you can access it.

Your superannuation is steadily topped up through regular contributions to that fund. The money in your super is then used by your super fund to invest in things like property or shares. The idea behind this is to provide returns on the money sitting in your super account, with the goal of growing your balance over time to help fund your retirement.

• You can also make extra contributions to your super

Generally speaking, super can be accessed upon retirement (if you are, or become a permanent resident a permanent resident of Australia) or when you leave Australia (if you're on a Working Holiday visa, Student visa or another temporary visa). 

For more on understanding super, you can head to our superannuation learning centre. You can also read our guide to technical super terms.

At some point in our lives we'll all retire. And, we hope that we can retire with enough money to enjoy all the things that we couldn't actively pursue during our working years.

According to The Association of Superannuation Funds of Australia (ASFA), 50 per cent of people don't know how much super they'll need for retirement.

The ASFA Retirement Standard provides a picture of how a modest lifestyle compares to a comfortable lifestyle and how much you're likely to spend to maintain each of these two standards of living.

A comfortable lifestyle includes extra items that are considered to be 'comforts', such as updating the kitchen or bathroom, having private health insurance at the top rate and enjoying an occasional holiday.

ANZ Smart Choice Super members can access the ANZ retirement calculator by logging in to your Smart Choice Super account via ANZ Internet Banking. For those without access to their account online, call us on 13 12 87 and we can help. Alternatively, you can use MoneySmart's retirement planner. 

Using an online calculator, you can estimate:

• your retirement age
• whether you want a 'modest' or 'comfortable' post-work standard of living
• what extra super contributions you make via salary sacrifice
• what level of risk you'll accept in your investment.

How does your super compare?

• Millennials: This is the average super balance for your age 
• Gen X: This is the average super balance for your age
• Baby boomers: This is the average super balance for your age

Most commonly, you can access your super when you have reached any of the following three options:

• your 'preservation age' and retired (between 55 and 60 depending on the year you were born)
• your 'preservation age' and choose to begin a transition to retirement income stream while you are still working
• the age of 65 (even if you're still working)

There are three basic ways you can access your super. You can take it as:

• a retirement income stream
• a lump sum
• a combination of both.

There are pros and cons to each option, depending on your circumstances. The best option for you will depend on your circumstances. Read more about accessing your super: when and how to do it.

For example, a superannuation pension generally suits those who have fully retired and have the flexibility to draw down at least the minimum amounts.

However, if you need a lump sum to pay off your debts, then drawing it out of your super could be an option, especially if you have other assets outside super that you can use to fund your lifestyle.

If you're nearing the time when you'll be able to access your retirement income, start discussing these options with your financial adviser or accountant now, so you can make an informed choice based on a comprehensive understanding of the pros and cons of each.

The Superannuation Guarantee means your employer pays 10.5 per cent of your salary (FY2022/23) into your super account throughout your working life. There are also tax incentives for contributing extra via salary sacrifice or personal contributions.

From 1 July 2022, the Superannuation Guarantee System requires employers to pay 10.5 per cent of their employees' gross ordinary earnings into the superannuation fund of their choosing.

You can confirm your eligibility for the Superannuation Guarantee with the ATO's 'Am I entitled to super?' tool and obtain an estimate of what you should be receiving using its 'Estimate my super' calculator, if you suspect your super is not being paid correctly.

Log into your Smart Choice Super account and check your employer is paying super.

1. Log in to your ANZ Smart Choice Super account by either:
   - ANZ Internet Banking and selecting your linked superannuation account; or
   - If you don’t hold an ANZ Bank account, you can log into your super account directly via www.anz.com/smartchoiceaccess
2. Click on the 'Manage my account' tab. Then, click on the 'Make extra contributions' link from the left-hand side of the screen to access BPAY Details.