Just one in four Australians with superannuation know their exact balance and regularly monitor its performance, according to research.
This group with higher engagement were likely to sit in the best-performing funds and have higher balances, research by Industry Super Australia (ISA) found.
Of the more than 1,000 Australians surveyed, around 37% rated their super fund as above average or excellent.
“People who check their super are generally happier with how their fund is performing- the more engaged you are, the more likely you are to make good financial decisions,” said Bernie Dean, chief executive of ISA.
More than half of the respondents who claimed to know their balance said their fund performance was at least average in comparison to 28% of those who checked once a year and 13% who regularly check it.
Some 12% rated their super fund performance as below average or very poor.
Interestingly, women were less likely to say they were in a good super fund (29%) compared to men (47%).
Age, too, proved to be no barrier when it came to super fund engagement as 30% of those under-55, 26% of those aged 25-54, and 23% of those aged 18-34 claimed to know their exact super balance.
Dean added: “Spending a little more time checking your super could spare many people a lifetime of economic pain caused by being stuck with a dud fund that robs you of hundreds of thousands from your retirement.
“Check you are getting what is legally owed, that you’re in a fund with a long-term history of good performance, combine multiple accounts and invest extra in super if you can – getting engaged with super now will give you with the best chance at a financially secure future.”
Previous ISA research recorded being stuck with a dud super fund could potentially cost members up to $225,000 at retirement.
Other tips to ensure maximising retirement savings included salary sacrifices to super. A 30-year-old on average wages making extra contributions of $20 a week could see almost $70,000 more in super balance at retirement.
