Starting July 1, nearly 10 million Australians will benefit from an automatic increase in their superannuation, as the superannuation guarantee rate rises from 11.5% to 12%. This change, noted by the Super Members Council, is set to enhance retirement savings, with the average worker expected to receive an additional $317 in their super for the 2025-2026 financial year.
The increase is particularly advantageous for young Australians and those on lower incomes. According to the SMC, a typical 30-year-old could see as much as $22,000 added to their super by retirement, contributing to a total of approximately $132,000 extra when factoring in the overall rise of the super rate from 9% to 12% in the last decade.
The demographic benefiting most from this enhancement includes individuals under 40; the majority of participants receiving the increased contributions are below this age threshold, with those in their 30s reaping the most significant benefits. Among those seeing an increase, about a third earn under $50,000 annually, and around 70% earn less than $100,000.
Geographically, Western Australians will enjoy the highest average super boost at $344, while Tasmanians will experience the smallest gain at $284.
Misha Schubert, CEO of the Super Members Council, emphasised that these superannuation increases are crucial for paving a comfortable retirement. She stated that these enhancements will afford individuals the opportunity to manage essential expenses, create family memories, travel, and achieve long-term financial security. Furthermore, she highlighted that the prospect of a 30-year-old having more than $130,000 in additional retirement savings underscores the importance of maintaining robust safeguards to protect superannuation across Australia.