Unless you have been living in a cave for 6 months, you will almost certainly be aware that the government has allowed Australian’s to take out $10k from the Super if they meet special conditions as part of the COVID hardship support packages.
Everyone is feeling under increased stress at a time like this – both mental and financial – and this may seem like a pretty good opportunity to pay down that expensive credit card debt or just to increase the rainy-day fund. There is merit in having the option to alleviate some mental stress by building up a short-term financial buffer.
The question of whether it makes financial sense is a lot more complicated and the answer requires a much better understanding of where you sit today relative to your financial goals – especially your retirement goals as this is ultimately what the Super system was designed to fund.
retirewell offers a way to demystify this quite complex financial problem. It helps you think about questions you may not have fully considered yet and guides you, based on your answers, to a personalised profile of your retirement plans.
Click here to find out more about how taking $10k from super will affect your plans.