Super Savings Accounts

Your superannuation is not something you think about on a day to day basis, especially if you are many, many years away from retirement. However, your choice of superannuation fund and how you and your employer contribute to that fund can have a big impact on the money you have for your retirement, and can even make you eligible for contributions from the government.

Savings Account	Account Details	Maximum Variable Rate p.a.	Standard Variable Rate p.a.	Bonus Interest p.a.	Fees	Min Balance/Min Deposit
NAB iSaver	One of the largest financial institutions and banks in Australia.	5.00%	3.65%	1.35%	$0	$0 / $0

What is a Super Savings Account

A superannuation savings account is an alternative to a superannuation fund, and is a high interest savings account which is eligible for the same superannuation benefits and attracts the same superannuation tax calculations as any other super fund.

Features of a super savings account:

• To be eligible as a super savings account the account must be a compliant retirement savings account from an approved provider, asspecified bythe Australian Taxation Office. Not all high interest savings accounts can be used as super savings accounts, and not all Australian financial institutions offer super savings accounts and it is important you are using an eligible account for your retirement savings.
• Typically online accounts and easy to use, and even easier to set and forget. Most super savings accounts can be managed online and this means you can easily check your super saving progress, make additional contributions to your super savings and stay informed of your retirement savings goals. You can also set up regular deposits to your super savings account from your transaction account so you can grow your super without having to waste time with transfers and paperwork.
• You’re not locked into a super contract. A super savings account can particularly benefit Australians who are just starting to save for their retirement and have only part time or casual work. Lower contributions to a super fund can mean that your contributions are quickly eaten away by fees, but in a super savings account there are no monthly or transaction fees and often only a low annual fee for balances over $1,000. For balances under $1,000 the fees are not allowed to exceed the interest earned.
• The funds are capital guaranteed and you will never lose your initial investment or contributions. This is because a super savings account really is a savings account, not an investment portfolio and where superannuation funds will invest your contributions in the hopes they will grow, investments sometimes go down, but in a savings account your capital is guaranteed.
• Some super savings accounts offer bonus interest. Super savings accounts offer high interest rates on your savings, and some providers will also offer you the option to lock away your super savings for a fixed term at an even higher rate, often from your choice of one to five years.

Superannuation Guarantee

It is the obligation of all employers to contribute an additional amount which is 9% of your wage to a superannuation fund of your choice. Eligible Australian employees can now have a choice of the super fund they want to use and a super savings account is an eligible option for that choice.

If you are an employer and want to provide a superannuation solution to your employees you can offer them a super savings account. A super savings account is suitable for employers with between two and 50 staff members and the account is simple to manage to ensure minimal administration hassles. Super savings accounts also offer your employees a low risk investment option and the accounts do not require any minimum super contribution besides the standard 9% employer contribution.

Co-contributions to Super Savings Accounts

If you use a compliant super savings account, then you may be eligible for the government’s co-contributions where your personal contributions up to $1,000 each financial year, will be matched by the Australian Government.

Super co-contributions:

• Co-contributions by the Australian Government are payable on eligible personal contributions to compliant super savings accounts.
• Co-contributions are payable to self-employed Australians making personal contributions to their superannuation, as of 1 July 2007.
• Personal contributions to your super savings account must be made after tax to be eligible for co-contributions, and not made as part of a salary sacrifice agreement.
• For your super savings account personal contributions to attract co-contributions you must have provided your tax file number when applying for a super savings account.
• Personal contributions up to $1,000 in a financial year can be eligible for government co-contributions.
• Personal contributions to your super savings account can be made via BPAY, a direct transfer or from a linked bank account depending on your provider.

Compare the high interest accounts in the Savings Account Finder™ comparison tables to choose one which is suitable for your super savings account and follow our secure links to find out how you can use a high interest savings account to save for your retirement.