Most Australians don’t know SG rate

Oksana Patron

28 June 2023

More than 70% of Australians is not aware of what the current super guarantee (SG) rate is, the data commissioned by super fund, Australian Retirement Trust (ART), showed.

Of 2,000 surveyed Australians, only 35% men and 24% women were able to correctly cite the current SG rate which stands at 10.5% and will increase to 11% from 1 July.

By comparison, according to data Gen Z was the generation most likely to be unsure (29% compared to Millennials: 17%, Gen X: 22% and Baby Boomers: 19%).

“These survey results suggest Australians don’t know enough about their super, and as we see the SG rate increasing to 11% on 1 July, it’s important to take note of where your super is going and how it’s working for you,” chief executive at ART, Bernard Reilly, said.

“Super is the largest and longest-term asset most of us will have and when it comes to engaging with your super fund, the sooner the better. Think of it as an investment in your future – you want to make every dollar count. As I say to my kids, do something today that your future self will thank you for.”

The simple steps that can make a huge difference to people in retirement include:

• Reviewing your super fund, including investment performance and fees, to check if it’s still right for you.
• Making sure you know where your super is and if you have multiple accounts consider consolidating them to save on fees.
• Considering if your super is invested in the right way for your stage of life.

From 1 July 2023, the SG rate is increasing from 10.5% to 11% and by 1 July 2025, it will increase to 12%.