I have just transitioned out of a sales role I had for near on a decade and gone into a new sales role in a different area, this change has only just made me realise, after speaking to a few friends and my Wife that I am in the wrong type of superannuation for where I am currently career wise and business wise, so picking the best superannuation fund for me took a little homework and asking many questions.
I also had insurances that I have been paying for a while outside of the super fund, this is for wage, life and sickness insurances so these need to be addressed too.
When you own your own small business the personal insurance needs are different to when you are working for a company that has work cover.
So these are the things I have to do to transition out of my old business / work and into the new.
- Pick a new good performing super fund to transfer my current super into
- Cancel my current insurances
- Make sure I have the same cover or more with the new insurances
- Fill out all the forms and send them away as needed
I am an electrician by trade so I am transferring my super back into my Industry Super Fund after doing a bit of research into it.
I found that the Industry Super Funds are pretty large entities, their returns are great and the fees are low.
So that was the good performing super fund part from above taken care of.
Then I moved on to the insurances to transfer or get rid of if not needed.
I had three different types with two companies and also two payments that come out each month.
This is where talking and learning off other people comes into play.
I found that I can get my super fund to insure me for TPD and Life and these are all I currently need for my current employment situation.
I can also get the Industry Super Fund to pay the premiums out of my super account so this keeps the cash in my pocket and les me take more off the mortgage or pay in to my super myself.
So this is a winner for me now and later on.
As I am not a full-blown business owner at the moment and the business I work for has work cover, I don’t need the insurance policy to cover this aspect anymore.
So I will save myself money deleting this insurance and going back to a standard cover with the separate family health cover we have.
So, when I finish all the forms I will transfer the super over, then set up the new insurances, cancel the current insurances, and then finally set up personal payments into the super account also.
The only fiddly bit is making sure I am covered by the insurances at all times, so I will set up the new ones before I terminate the old.
I only wish I had analysed my superannuation earlier to see about the changes I could do to save money and maximise it.
Have you had a superannuation or finance check up yet?
It may pay to keep an eye on it and ask some questions if you have any queries.
I hope this helps if you were looking at doing the same thing.