withdraw from super fund

[me217]

hey all. the wife is trying to work out how to withdraw her super. since she has stopped work for baby number two. she has been off work for over a year now and in that time her super fund has taken about half of her saved super. so we would like to withdraw what we can instead of letting it run out and line someone else's pocket.

any help would be appreciated.

[Swannie]

I'm not sure you can do that mate, but I'm not an expert in this field. I think you may be able to transfer to a fund with less fees etc but not withdraw it
Swannie

[gronk]

Unless under special circumstances ( disability, hardship ), you can't withdraw it.  If the fund is taking too much in fees, see if you can swap funds.

If the fund has taken 1/2 the savings, I can only guess there wasn't a lot in it ( a couple of grand ?? )

[UIZ733]

Cannot be done under normal circumstances (from your post it would appear that your wife's age would prevent it).
Virtually ANY/EVERY super fund has been in growth in recent times. The fact her balance appears to be going backwards suggests something is very wrong. Seek urgent reliable financial advice.

[Nomad]

hey all. the wife is trying to work out how to withdraw her super. since she has stopped work for baby number two. she has been off work for over a year now and in that time her super fund has taken about half of her saved super. so we would like to withdraw what we can instead of letting it run out and line someone else's pocket.

any help would be appreciated.

As per Uiz said. If you have an accountant get them to have a look at the statements. If the loss of money is more than just a drop in share prices and reasonable fees by the fund make a complaint. Method is detailed here:

https://www.sct.gov.au

Withdrawing your super is as per here:

https://www.australiansuper.com/superannuation/withdrawing-my-super.aspx

Best of luck with it.
Cheers Nomad

[me217]

Unless under special circumstances ( disability, hardship ), you can't withdraw it.  If the fund is taking too much in fees, see if you can swap funds.

If the fund has taken 1/2 the savings, I can only guess there wasn't a lot in it ( a couple of grand ?? )

it wasn't alot in there. abit over 2 grand. the last statement i got. opening balance $1,159.07  at 01/07/15 closing balance $934.15 at 13/02/17 they have taken $224.85 for doing nothing. its a rip off. hence why i'd rather withdraw it and put it in our savings. at least it will increase in value then.

[KingBilly]

Just be carefull they are not deducting income protection insurance or life insurance or some other insurance premium.  You can stop those.

KB

[GeoffA]

Beat me to it KB..

Most super funds will automatically include life insurance, unless you opt out. Guessing that's where the money has gone.
Contact them and stop the insurance policy if you don't need it.

 

[Mad Hueys]

Mate you need to look at a "industry superfund" they are not owned by shareholders so the profit stays with the members.    Anything privately owned is just their to benefit others not you.       

[McTavish]

Basically - you need to talk to the super provider (they all have a contact centre that can provide you with the figures and forms you request) or a Financial Planner (can give you personal advice).

You should ask what the fees and insurance premiums are that are debiting the fund.

Admin & Investment Fees used to be up to 2% of the balance/yr.  These days anything around 0.8 - 1.00% is average.  And yes that can include the so called cheaper industry funds. 

If there is insurance (Life, Disability, Income Protection) in the fund then it could be good value depending on the sum insured and the premium.   If you were to apply for new insurance then you might be declined or have loadings/exclusions apply to any new policy.  So keeping an existing policy with none of these issues is worth considering.

To keep the insurance it might be worthwhile considering paying for this by doing an after tax payment to the account.   If earning less than around $37k then the government can match you up to a certain amount (government co-contribution).  If over this amount then maybe still worthwhile - or do a salary sacrifice?

But to answer your original question:

You can withdraw if you meet the preservation age and are retired - currently:

Date of birth
Before 1 July 1960 - 55
1 July 1960 – 30 June 1961 - 56
1 July 1961 – 30 June 1962 - 57
1 July 1962 – 30 June 1963 - 58
1 July 1963 – 30 June 1964 - 59
From 1 July 1964 - 60

Otherwise if working you need to wait till 65yoa.
If still working then you could rollover to a pension super account and access between 4 - 10% of the balance (obviously not a worthwhile exercise with only a few $'s).
You can withdraw if Totally and Permanently Incapacitated - includes any insurance (if you meet the definition) and the balance less tax.
You can withdraw if Terminally Ill if < 12 to 24mths to live usually tax free to you or your spouse including any life insurance and the balance.

Riveting stuff hey !!







 

[Apples69]

I think you will find over the period you are talking the arse fell out of the market and hence you unit price dropped. Still same amount of units owned but actual until price decreased. Since your last date the market has rallied and I think you will find your balance has come back up.
You really need to understand what is causing the fluctuation first.
If you have s number of super funds you should roll them altogether. Unthinking it gets under $1000 or something like that I think you can get it back
I have someone I use who would be up for a chat without charging as most planners do these days
Pm me if you want a name and number