RSA SuperFuture® Account

It may seem a long way ahead until you reach the age of 60, however planning your retirement savings early ensures that your future plans will be secured and realised when you do retire. SuperFuture Retirement Savings Account (RSA) is a low risk account specifically for retirement savings.

Choosing the right superannuation fund as part of your investment strategy can be a very effective way of achieving your financial goals. But no two superannuation funds are the same.

Any person considering acquiring this product should consider the appropriateness of the investment having regard to the effect of the lower-risk / lower-return nature of the product on possible benefits in the long term; and that there are other superannuation or financial arrangements that may provide a greater return over the long term.

The SuperFuture RSA is a financial product that provides for long term savings, designed to provide income in retirement.

Tax concessions apply to contributions to RSA funds which like this one, comply with rules set out in superannuation law. Tax deductions are available for some contributions. Tax concessions also apply to fund earnings and to benefit payments. Members can normally only withdraw their investment in a RSA (called a “benefit”) when they retire.

Features

 Designed specifically for retirement savings

 Interest is calculated daily on the current balance

 Interest is credited to the account annually at 30 June

 Optional insurance cover

 A RSA Holder who leaves the fund within a few years of joining may get back less than the amount of contributions paid because of the level of taxes, government and administration charges and, if applicable the cost of any insurance cover debited from the RSA.

Benefits

This RSA has the following benefits

 Low risk investment

 No exposure to possibility of loss of capital invested

 Transfer of current superannuation accounts into SuperFuture RSA without incurring entry fees and interest accruing at the full rate from day of transfer

 Funds are accessible on retirement from workplace on or after reaching the preservation age as a lump sum in the form of an allocated pension or a combination of both

Significant Risks

There are risks in choosing to invest in this product

 Interest rate risk: changes in interest rates can have a positive or negative impact on investment returns

 Changes to superannuation law: changes are frequently made to superannuation law, which may or may not affect your ability to access your investment.

 Recent changes mean that your superannuation (RSA) benefit may now be split by agreement or by court order with your spouse if you and your spouse permanently separate.

 Changes to taxation: changes can occur to the taxation of superannuation, which may affect the value of your investment.

Your investment is locked in until your retirement from the workforce on or after reaching the preservation age. It is a retirement savings account provided for under the Retirement Savings Accounts Act 1997 and all funds deposited within the account are capital guaranteed by Police Credit.