With the Reserve Bank of Australia opting to raise interest rates this month, it’s a timely reminder of the economic decisions and developments completely outside the control of ordinary Australians, yet have a significant impact on their lives.
The same can be said about inflation, unemployment rates and the cost of groceries – all headline-grabbing economic indicators that have an impact, yet over which the general population has no control.
However, the same attention is not always given to the economic decisions we do have control over that also stand to have a significant impact on our lives.
Superannuation is a case in point.
A recent report from the Association of Superannuation Funds of Australia highlighted that 96 per cent of employed Australians hold a superannuation account, while of those who are not working or are retired, around 60 per cent have some form of retirement savings. Australia’s super sector is now worth around $4.5 trillion.
And yet despite these significant numbers, I would argue not enough Australians are engaged or taking an interest in their super accounts. As at the end of June 2025, almost $19 billion was categorised as lost (fund-held) or ATO-held super across more than 7 million accounts.
While disengagement won’t be the sole reason of all missing super, I would suggest it’s a key factor in the majority of cases. There’s clearly a disconnect between the average worker and superannuation, meaning not enough people are keeping track of their accounts and the fees they’re paying or even monitoring whether their employer is paying the amount they’re legally obliged to.
Paying attention to your super is one of the easiest ways to exert some control over your future and your retirement income.
It doesn’t have to be complex or difficult. But for those looking to take more control of their superannuation, there are some simple ways to start, such as:
- Actively engaging with your account: Who is your super currently with? When is the last time you checked a statement? What fees are you paying? Free resources are available to find lost or unclaimed super.
- Contributing: Yes, your employer is, or legally should be, contributing on your behalf. But what extra money can you contribute? Incremental changes in saving behaviour, even small amounts, can compound over time and make a significant difference in the long term.
- Considering an SMSF: Could you benefit from an SMSF? Depending on your long-term goals, an SMSF might be appropriate for your lifestyle and eventual retirement plans.
- Having a strategy: It doesn’t have to be formal, or complex, but what do you want to aim for in retirement? Do you expect to work into your older years or would you like to retire sooner? What kind of lifestyle do you want to lead? These questions will all impact how you approach your super.
- Pay attention to policy: Legislative changes affect
- the entire super system, regardless of whether you’re directly impacted. Reforms that may seem irrelevant to you today can influence fees, outcomes and how your super account operates in the future, which is why it’s important to stay informed.
Elon Musk recently offered his thoughts on traditional retirement savings, suggesting saving for retirement will become “irrelevant” within the next 10 to 20 years as advances in artificial intelligence (AI), robotics and energy technology will create extreme abundance.
It’s likely an appealing vision for many, but as a foundation for personal financial planning into the future, it relies on uncertain assumptions, most of which are once again outside the control of the general public.
The notion relies on uncertain timing, an expectation there would be a universal and equitable distribution of technological benefits, when lived history suggests otherwise, and essentially that capital will no longer matter.
Musk himself acknowledges the transition to such an AI-driven future could be bumpy, once again highlighting relying on technological advancement to potentially reduce the cost of goods at some arbitrary point in the future is putting your retirement plan in the hands of something outside your control.
If there is any takeaway message from his comments, it should be there is merit thinking about your retirement savings and what your financial future might look like.
Superannuation is not a bet on the future of technology: it exists to provide stability and financial certainty.
It’s important to pay attention to technological advancements, as well as interest rates, inflation and other economic drivers, but it’s arguably more important to pay attention to and engage with superannuation. It’s one of the few economic influences in your life you have control over.
Naz Randeria is managing director at Reliance Auditing Services.