Think you’ve got plenty of time to worry about retirement? Think again.

The Turnbull Government recently passed legislation to change the definition and the objective of the superannuation system: “To provide income in retirement to substitute or supplement the age pension.” For comprehensive reading visit Treasury website

What does this mean? Well, it means the pension will not be available for most middle-income Australians as it is replaced with the superannuation system.

So, if you are not saving at least 20% of your income, whether inside or outside of your super fund, you will not have enough money to retire on.

To survive, you will need to take drastic measures – such as a reverse mortgage. This is where you borrow against the home you spent 30 years paying off. Brilliant idea? No!

But it’s not all bad news. This Christmas, I come with good news!

To retire comfortably, you need to save 20% of your income. But you only need to start actively saving 10.5% of your income now.

You see, your employer/business already saves 9.5% of your income into your super fund. So, all you need to do is tweak your budget to find a further 10.5% of savings.

That 10.5% will tip you over the line from being a Consumerholic (someone who consumes as much as possible with no regard for their financial future) to an Investorgetic® (a term I coined to mean someone who thinks long term and is passionate about building their wealth). It is the difference between suffering in retirement and thriving.

Is it going to be hard to save 10.5%? No!

Truth be told, it will hurt a little in the beginning. But you’ll be surprised at how quickly saving becomes a habit!

You may be thinking: “How, Susan, how? I can barely make it to the month’s end!”

Here are 3 easy ways to start saving now:

1. Begin with Savings in Mind®: start by putting aside $50 a week. Place it into an interest-bearing account you aren’t allowed to touch. Add an extra $5/$10 a week, every second month, and see how quickly your savings grow. 

2. Work on your budget. Know what your monthly expenses are and manage your accounts on a monthly basis. 

3. And before you go Christmas shopping, make a gift list and don’t blow your budget!

Remember, if you want to become an Investorgetic®, download the first three chapters of my book Money Intelligence here: http://www.moneyintelligence.com.au/free-stuff/

Susan’s upcoming event on Money Intelligence – How to Take Control of Your money is on 7th December 2016 at The Grace Hotel. Here is the link to register on Eventbrite 

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Susan Wahhab —CPA, SMSF Specialist, Entrepreneur, Working Mum, Small Business Supporter— is Australia’s leading Financial Strategist and Money Mentor. Susan is the founder and managing director of Accounting and Financial Services firm Winner Partnership Pty Ltd www.winnerpartnership.com  

Susan is the author of the transformational and practical book Money Intelligence®. Susan is passionate about helping people achieve financial liberation. At the age of six, she witnessed how her money-savvy mum (whom she calls the money manager) joined forces with her dad (whom she refers to as the money maker) to save the family business from bankruptcy and become financially free. Susan truly believes that people can become financially liberated by developing a healthy relationship with money. Learn more about being money intelligent www.moneyintelligence.com.au