Presented by Colleen Hogan-ManningClient Relationship Manager

Introducing HESTA

This information is issued by H.E.S.T. Australia Limited ABN 66 006 818 695 AFSL No. 235249, Trustee of Health Employees Superannuation Trust Australia(‘HESTA’) ABN 64 971 749 321. © Copyright H.E.S.T. Australia Limited 2016

This information is of a general nature. It does not take into account your objectives, financial situation or specific needs so you should look at your ownfinancial position and requirements before making a decision. You may wish to consult an adviser when doing this. Before making a decision about HESTAproducts you should read the relevant Product Disclosure Statement (call 1800 813 327 or visit hesta.com.au for a copy), and consider any relevant risks(hesta.com.au/understandingrisk).

Product ratings are only one factor to be considered when making a decision. See hesta.com.au for more information.

Investments may go up or down. Past performance is not a reliable indicator of future performance. The returns shown are net of indirect costs and taxes.

HESTA Financial Planners are representatives of Industry Funds Financial Planning, a division of Industry Funds Services (IFS) ABN 54 007 016 195 AFSL 232514.IFS are responsible for the advice given by its representatives. HESTA Superannuation Advisers and HESTA Superannuation Advice Officers are representativesof H.E.S.T. Australia Limited.

Information you need to know about

HESTA acknowledges Aboriginal and Torres Strait Islander peoples as the Traditional Custodians of all Lands on which we come together. At

HESTA, we know that Aboriginal and Torres Strait Islander cultures enrich this nation and we pay our respects to Elders, past and present.

HESTA acknowledges the important contribution Aboriginal and Torres Strait Islander peoples make in creating a strong and vibrant

Australian society.

$36b in assets

More than 800,000 members

About HESTA

What we’re about

Health and community services

Our members Responsible long term investing

What is super?

Super is money that has been invested for you to use in

your retirement

Super9.5% of your gross pay

Take home pay

Total salary

Employer

Super basics

How much do I get?

Current superannuation guarantee rate 9.5%

2016-21

10%2021-22

10.5%2022-23

11%2023-24

11.5%2024-25

12%2025-26

So, how can you build your super balance?

How can you make it happen?

Adding an extra $20 per week now, can make a huge difference later!

Growing your super comes down to what you put in and earning interest over time

Before-tax contributions

Also known as Salary Sacrifice

That so called ‘sacrifice’ from your before-tax income can make a real difference later.

Pre-tax Less tax

Contribution type Contribution limit

Before-tax contributions (concessional)

• employer• salary sacrifice• self-employed

$30,000 p.a.

If 49* or over you can contribute $35,000 p.a.

After-tax contributions(non-concessional)

• after-tax voluntary• spouse

$180,000 p.a.

If under 65 can pay $540,000 in one year, then $0 for next 2 years.

You must provide your tax file number (TFN).*For Individuals who are aged 49 years old or over prior I July 2016.

Know your limits

After-tax contributions

It’s never too late to add to your super, and it’s easier than you’d expect!

How much extra super could you get from the government?

Total income forfinancial year (2016/17)

After-taxcontribution required

Maximum governmentco-contribution

$36,021 $1,000 $500

$38,000 $868 $434

$42,000 $600 $300

$46,000 $334 $167

$51,021 $0 $0

You could getthe low income super contribution!

$37,000Do you earn

or less?

It’s never too late… or too early

to start building your super

“ “

See how different contribution decisions impact on their final super balances at age 67.

Contribution decisions

Jill, Tom & Sue

• Tom, Jill and Sue are all 25 years of age

• Each earn a gross salary of $45,000 p.a. (excluding super @ 9.5%)

• $0 super balance

Case Study

$368,000

$483,000

$454,000

$350,000

$400,000

$450,000

$500,000

No extra contributions made $20 weekly contributions fromage 25

$40 weekly contributions fromage 45

Extra contributions make a difference!

Assumptions: Investment earnings of 6.50% net per year and employment is constant until age 67. Inflation of 2.5% per year and figures are in today’s dollars (i.e. the final value is discounted for inflation). Figures include SG contributions of 9.5%. Calculated at 01/03/2016. This example is an illustration only and is not guaranteed. Actual outcomes may differ. Investments may go up or down.

Case Study

Tom makes no additional contributions to super

Tom

$368,000

$483,000

$454,000

$350,000

$400,000

$450,000

$500,000

No extra contributions made $20 weekly contributions fromage 25

$40 weekly contributions fromage 45

Extra contributions make a difference!

Case Study

Assumptions: Investment earnings of 6.50% net per year and employment is constant until age 67. Inflation of 2.5% per year and figures are in today’s dollars (i.e. the final value is discounted for inflation). Figures include SG contributions of 9.5%. Calculated at 01/03/2016. This example is an illustration only and is not guaranteed. Actual outcomes may differ. Investments may go up or down.

Jill contributes $20 extra week from her take home pay over the next 42 years

Tom

Jill

$368,000

$483,000

$454,000

$350,000

$400,000

$450,000

$500,000

No extra contributions made $20 weekly contributions fromage 25

$40 weekly contributions fromage 45

Extra contributions make a difference!

Case Study

Tom

Jill

Sue

Assumptions: Investment earnings of 6.50% net per year and employment is constant until age 67. Inflation of 2.5% per year and figures are in today’s dollars (i.e. the final value is discounted for inflation). Figures include SG contributions of 9.5%. Calculated at 01/03/2016. This example is an illustration only and is not guaranteed. Actual outcomes may differ. Investments may go up or down.

From age 45, Sue contributes $40 extra per week from her take home pay

Online tools

HESTA website

Financial advice online

If you feel you need additional help after using our calculators, just answer a few simple questions to find out if online advice is the right model for you.

Topics include recommendations on:• your investment strategy• your insurance strategy• your contributions strategy

Money101

Improve your financial skills

Topics range from:

• investment basics

• superannuation

• financial planning

• insurance

Keep track with the HESTA App

Everything you need to stay connected to HESTA and your super is in one place!

Download the free app from the

Apple App Store or Google Play.

1800 813 327Monday–Friday8.30am–5.00pm local time

hesta.com.au

Contact us

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