Being made redundant can be a devastating experience, but it’s important to know what happens with your super.
If you’ve been retrenched, it’s likely you will receive a redundancy payment. How much you’ll be paid depends on your salary and years of service.
Think carefully about how to use this money – there are no guarantees you’ll find another job quickly. If your redundancy payment is large, it can be worth talking to one of our financial advisers about the best way to use the money.
Accessing your super
While you’re looking for work, income support payments can be available through Services Australia. If you face a prolonged period between jobs and start to experience financial hardship, there may be opportunities to access your super early. This calls for consideration as dipping into your super early can leave you with less to live on in retirement.
If you’ve been made redundant in your mid-50s or later, you may decide to bring forward your retirement – or perhaps dial down the number of hours you’d like to work. Generally, you can access your super once you reach preservation age – between 55 and 60, depending on your birth date. If this sounds like you, we can explain the different ways to use your super in retirement.
Any advice on this website is general only and has been issued by LGSS Pty Limited (ABN 68 078 003 497) (AFSL 383558), as Trustee for Local Government Super (ABN 28 901 371 321)(‘Active Super’). The advice does not take into account your personal objectives, financial situation or needs. Before making a decision about the product, you should consider the appropriateness of the product having regard to these matters and the relevant PDS and TMD available at www.activesuper.com.au or by calling us on 1300 547 873. If you would like advice that takes into account your personal circumstances, please contact a financial adviser.
Active Super has engaged Industry Fund Services Limited (ABN 54 007 016 195) (AFSL No 232514) (IFS) to facilitate the provision of financial advice to members of Active Super. Advice is provided by one of IFS’ financial planners who are Authorised Representatives of IFS. Fees may apply. Further information about the advice services that can be provided is set out in the relevant Financial Services Guide, a copy of which is available for download at www.activesuper.com.au or by calling 1300 547 873. IFS is responsible for any advice given to you by its Authorised Representatives.