The ins and outs of protecting your super package.
In 2020, the federal government introduced laws called the Protecting Your Super package (PYS). It’s a big deal because it addresses important changes to superannuation that are here to stay. In fact, there’s even been an industry-wide campaign about how it’s time to check your super.
The package aims to protect Australians from super balances becoming eroded by fees and/or premiums in accounts that aren’t being used. And, as a result, encourages us to start being more actively involved with our super.
You should be conscious of the following :
· How much transaction costs you pay annually on the super fund
· How much premium is paid for insurances. Do you need that much insurance cover?
· Are you making contributions into the super account so that it is an active account
· Are you having multiple super funds and perhaps should consolidate.
· Are you better off holding insurances outside or inside your superannuation?
· Do you have easy access to your superannuation so that you can take an informed decision?
How much insurance is right for me?
The whole idea of insurance is based on the need to be prepared for what’s around the corner. If something happens like a sudden illness, it’s good to know you’ve made provision for treatment and any interruption to your earnings.
Ask us for a free no cost, no obligation ‘Risk Need analysis” to determine your appropriate level of insurance cover that you ought to have, given your financial situation.
You may also have cover through your superannuation. Find out more about the 3 types of insurance available within super, and some of the pros and cons.