Save by switching supers

An exclusive preview into a new website which compares and rates all of Australia's super funds to help you choose the best one

Most people don't know if they're in the right superannuation fund or they haven't taken the time to find out.

Tens of thousands of Australians are throwing their retirement nest egg away in expensive funds that aren't performing.

However, two people that are laughing all the way to their retirement are Ashleigh Gonzales and mum of three, Ingrid Montgomery.

Montgomery was planning to put $450,000 she got from a property settlement into her fund, Perpetual.

But faced with crippling fees, she changed funds to AsGard, which has no entry fee on contributions and low annual fees less than $2000. It was a massive bonus for her retirement.

Gonzales found her husband had six lost super funds, which by July 1, would be claimed by the Federal Government. She consolidated them into his industry fund, TWU, but then found an even better super fund.

"Not only have we saved $12,000 consolidating into one fund but now, by moving it into a better fund, we will be able to save an additional $24,000," Gonzales said.

Superannuation expert, Russell Medcraft says "seven in ten people stay in the same old super fund letting it make decisions for them."

"It's called the default investment option and that can potentially destroy your nest egg. This new website, Find My Best Super, will literally save you tens of thousands of dollars in fees, by selecting the best super fund available to you," Medcraft said.

Medcraft says "the site rates all the superannuation funds, compare fees, returns and insurance so you can guarantee you will get the best superannuation outcome."

The website lists hundreds of super funds which have been analysed, compared and rated, best to worst by independent research company, SuperRatings.

Both Montgomery and Gonzales discovered the best funds for them through Find My Best Super

"Put in your details, compare it against any other fund in the market place to see the difference that fees make to your superannuation balance. That's a whole raft of things and that's where you should enlist the services of a qualified advisor to guide you through all those different funds," Medcraft said.

Jeff Bresnahan, managing director of SuperRatings, which analysed 300 Australian funds believes fees are just one of the factors they use to rate them.

"You've got investment returns, service, governance, who is actually behind the whole fund, and is it still going to be there in 15 years time? There's insurance costs and all those sort of things blend in together to say, how good is that fund," Bresnahan said.

"I am in the right fund and I know I can really sleep at night knowing that my money is invested wisely and will keep me in the life I am accustomed to when I am retired," Montgomery says.

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