I also posted this to r/Adulting and they referred me here. I’ve heard the term before and I’ve tried looking it up but I still don’t get it. I think I need a proper explanation.
In: Economics
A part of your income.gets sent to super so when you retire after youre 67 (Australia’s new retirement age) the government doesn’t have to pay you a pension.
The super fund invests the money and earns extra (Or loses depending on the investment of course) and then after you retire you live off of the super rather than a government pension.
It can be subsidised with a pension if you don’t have a certain amount of super.
Usually a company pays super on top of your pay, it’s mandatory here in Australia for an employer to pay super.
Basically it’s just a retirement fund.
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