We’ve all been told the same story: Work hard, keep tipping money into your super, and let “time in the market” do the heavy lifting. Supposedly, that’s the ticket to a comfortable retirement. But here’s the uncomfortable truth: The numbers don’t stack up, which is why we are sharing some simple super DIY super hacks that will triple your retirement fund.
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According to the Association of Superannuation Funds of Australia (ASFA), you’ll need around $595,000 as a single or $690K as a couple to retire “comfortably” from age 67. Add 10 or 20 years of inflation and higher living costs, and those targets will balloon.
Now look at the reality. The median super balance for Aussies in their late 50s is just $202,583 for men and $140,662 for women; nowhere near enough. To hit the so-called benchmark, most would have to triple their balance in a decade if they’re single or double their balance if they’re a couple. Do you honestly believe employer contributions and “set and forget” investing will do that? It won’t.
But here’s the good news: You don’t have to play by those rules.
You can take control right now with your existing super fund. Options like Australian Super’s Member Direct let you invest directly without the cost or hassle of setting up a Self-Managed Super Fund (SMSF).
And here’s the kicker: You don’t need to be Warren Buffett. You just need to follow a few simple rules that professional investors have used for decades.
1. Protect yourself from big losses
A 50% fall means you need a 100% gain just to break even. That’s why “time in the market” is a myth. Look at the GFC; it took 12 years to recover. Most retirees don’t have that kind of time. The simple hack: Check your investments monthly. By watching the price chart, you can spot when sentiment is shifting. Remember, markets don’t crash in a single day; the signs build over time, and if you’re paying attention, those become obvious, and you can step aside before the damage is done.
2. Go with the trend
When an investment is moving up strongly, like gold today, you don’t need a finance degree to see it. You just need to be on board.
3. Cut your losses early, let your profits run
The secret isn’t avoiding losses; it’s making sure the losses stay small while the winners grow big. Identifying a price level where you will get out if the price goes against you before you get into a stock is a great way to keep your losses low.
Follow these rules and you’re not just hoping your super will be enough, you’re actively building wealth and creating income that lasts into retirement. The system wants you to stay passive, but the opportunity has never been better than now to take control. The only question is, will you?
If you want to take your strategy to the next level, grab a copy of my bestselling book, How to Beat the Managed Funds by 20% for free, just pay shipping.
Because the truth really is simple: You don’t get rich in retirement by being passive. You get there by being smart, active, and prepared.
For now, good luck and good trading.
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Dale Gillham is Chief Analyst at Wealth Within and international bestselling author of How to Beat the Managed Funds by 20%. He is also the author of Accelerate Your Wealth—It’s Your Money, Your Choice, which is available in bookstores and online at www.wealthwithin.com.au.
Disclaimer: While Wealth Within holds an Australian Financial Services License (AFSL:226347), the information featured in this program is general in nature and therefore should not be relied upon. Before making any investment decisions, you should consult a licensed professional who can advise whether your investment decisions are appropriate for you.
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