Checking up on your superannuation will soon become easier, thanks to the demands of technology-savvy millennials.
Almost three quarters of people aged 18-34 do not trust the superannuation system and just one in three read their statements, prompting calls for clearer messaging from super funds.
“Millennials don’t compare their super fund experience with other super funds, their benchmark is their experience with Uber or Deliveroo,” said Sally Loane, Chief Executive of the Financial Services Council (FSC).
“They are gobsmacked when they call HR and find that they can’t move to a fund they want.”
Ms Loane foreshadowed changes to how funds communicate with millennials, telling the FSC Leadership Summit that funds will have to adapt before 2025 when millennials become the biggest demographic in the Australian workforce.
Nathan Robertson, spokesperson for superfund collective Industry Super Australia, said connecting with millennials needs to go beyond reaching them via smartphone.
“Funds must adapt to the modern world but choosing a fund flashy extras like an app isn’t going to necessarily translate to a quality retirement outcome,” he said.
“Because super is a long-term prospect we have to think in terms of twenty or thirty years, and thinking in those short-term changes that come up here and now isn’t really the right way to go about thinking about super.”
The Deloitte Access Economics-FSC study found almost a third of people under 30 have more than one super account and one tenth have more than three or more accounts. Millennials are more focused on buying a house. Just eight per cent know how much money they need for retirement.
This comes just days after Shadow Treasurer Chris Bowen confirmed Labor will be pushing for a banking Royal Comission at the next election and one month after the Turnbull Government implemented contentious changes to superannuation affecting high-income earners.
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