Are you looking for some super advice? It may seem a little bit premature to be thinking about retirement in your 20s but actually it is a great idea.
Having a retirement plan is a great way to start plotting out your life plan. The more planning you do now the better you will feel later on in life.
At this time in your life, all of the big milestones in your lifetime are likely to feel too far in the distance to be worried about them now.
However, a retirement strategy only gets better with age and this is a key fact to contemplate when you are thinking about putting off making a retirement plan.
At first, the amount you begin to put towards your super fund does not have to equate to a lot.
Every little amount that you put into your account will help it grow. Initially, saving a couple of dollars or more does add up over time.
For most young professionals, the only superannuation plans they have are usually tied up with whatever government super plan that their employer signs them up for.
While having a superannuation scheme at work is a great start, you cannot rely entirely on it to support you throughout your golden years.
As time goes on, you need to consider diversifying your retirement strategy.
In the past, many people would reach retirement and potentially only live to for a couple of decades but now people are living a lot longer and you need to ensure your super fund will last the length of your retirement.
Choosing to transfer a certain amount of your pay check directly into your super fund in addition to any government contributions will greatly increase your chances of building a nice little nest egg which will help to make your retirement as smooth as possible.
ipac is one of Australia's largest financial advisory firms and has offices based across the country. A wholly-owned subsidiary of the AMP Group, ipac specialises in research and financial advice that helps clients lead happier, more fulfilling lives.