Superannuation is the tax-efficient retirement vehicle for Australians. With an approximately size of A$2 trillion, it is one of the larger and more effective retirement savings vehicles across the globe. As Australian expats, one of the greatest mistakes that you can make is to simply ignore your super back home.
Here are our team’s top 5 tips for Australian expats living abroad for your superannuation:
1. Explore the benefits of making contributions as an expat
As a non-resident, you can still contribute to your superannuation. This includes both concessional and non-concessional contributions, which can be a particularly valuable strategy if you have other Australian assessable income, such as rental income from your properties.
2. Review your insurance/s held within your super fund
It’s likely that you still have insurance held within your superannuation, which may be duplicating insurances that you’ve taken out as an expat. It’s important that you review the policies, as well as their cost-effectiveness for you as an expat. Some Australian insurers will also allow you to take out insurance with them if you only plan on staying abroad for a relatively short period of time.
3. Review the performance of your superannuation
When was the last time to checked the performance of your superannuation? How does it compare to others? If you’re not happy with the performance of your super, speak with an Adviser to explore alternative options. It’s also important that your super investment strategy is aligned to your overall risk profile.
4. Explore your repatriation strategy
How will you use superannuation form part of your retirement goals? Are you planning to make a contribution to super upon your return to Australia? It’s important that you review the pros and cons of utilising superannuation when you become an Australian tax-resident again.
5. Remember the Super Contribution Limits
It is important to remember that there are contribution limits when it comes to your Australian super. These contribution caps are currently as follows:
The non-concessional contribution cap is $180,000 p.a. You can find more information about the super contribution caps by clicking here.
Speak with our team at Australian Expatriate Group today.
To Your Financial Success!
Jarrad Brown is the trusted fee-based financial adviser for Australian expatriates living in Singapore and throughout Asia-Pacific.
To learn more about how we may be able to help you, please contact us:
✆ +65 8282 5702
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