Being able to save for retirement is an important part of the financial planning. The retirement fund or Superannuation is something that we should plan for if we are to secure a bright golden year ahead of us. Most of the countries in the world dictates that every employee that started working needs to dedicate a part of their monthly earnings to their Superannuation or retirement fund.
Though the management of these funds are in your hands and can be decided depending on your needs and wants, these funds are not accessible until the age of sixty five.
The availability of Superannuation services varies from one to the other, and you will be able to choose which one suits your needs. You will be able to decide which of the Superannuation services you find beneficial. The services listed below are just a few of the Superannuation services you can have.
- Industry funds – these are the types of funds where unions or employer associations are the ones responsible in running them. The funds are solely dedicated for the benefits of the association’s members. Unlike retail and wholesale funds, these kinds of funds does not have any shareholders whatsoever. Know more about actuarial certificate.
- Wholesale Master Trusts – A Wholesale Master Trusts commonly referred to as a retail fund, has a firm or financial institution managing it for the benefit of selected employees.
- Retail Master Trusts – Retail Master Trusts are only dedicated to a certain individual and is managed by a financial firm or institution.
- Employer Stand-Alone Funds – Employer Stand-Alone Funds is something that is managed by the employers for the benefit of all their employees. These Employer Stand-Alone Funds are something that is individually structured and can or cannot be shared between employees.
- Public Sector Employees Funds – Public Sector Employees Funds are exclusive funds made by the government for government employees only. Check out lime actuarial for more info.
- Self Managed Super Funds – Self Managed Super Funds or the SMSF’s is something that is created by a small group of individuals ranging from five or less people. The Self Managed Super Funds are being supervised by the country’s taxation office and strict rules are being imposed for them. A trustee is the common name for the Self Managed Super Funds members, which are also essential fund members. Meanwhile, Self Managed Super Funds are different from the traditional superfunds and you will be able to choose which investment suits your circumstances and lifestyle best. The hard part is you have to do it within the regulations imposed by the government. To learn more about superannuation, visit http://www.encyclopedia.com/humanities/dictionaries-thesauruses-pictures-and-press-releases/superannuation.
- Small APRA Funds – The SAF’s or Small APRA Funds are created by a small group of people, preferably five or less. Although, unlike the SMSF, the Small APRA Funds has trustees that are not members of the funds.