How important is selecting the right superannuation fund?

Selecting the right superannuation fund as a teen could save you hundreds of thousands in retirement.

Not a teenager anymore? Don't stress, no matter what stage of the wealth accumulation cycle you're in, making the switch to a better superannuation funds will save you thousands.

Now, I'm not talking about the investment performance itself, I'm talking about fees. A 1% difference in annual fees can make a 20% difference in the total balance within a fund over a 30 year period. If you plan to retire on a million bucks, that's $200k.

The most competitive superannuation products include this statistic in their product disclosure statements for good reason. Of course, you always want to pick a reputable fund that performs relatively comparatively to the market, but reducing fees is a sure way to save your future self a lot of dough.

Disclaimer: You should speak to a financial adviser before switching superannuation products. While return and performance are critical indicators for the right product for you, there are additional factors to consider when selecting the right superannuation fund including existing insurances and specific fund features that may prove impossible to replicate elsewhere. This article is designed to encourage you to start thinking about super where previously you may have thought it too early to bother.

Batchify your life!

You're probably familiar with the terms chunking and batching. You can use them relatively interchangeably and they basically refer to doing similar tasks in larger blocks at a single time, as opposed to separately in order to produce efficiencies.

There's a reason that car manufacturers have different production sites that create each of the specific parts in bulk before shipping them off to an assembly factory, as opposed to having a bunch of individual warehouses making all parts in the necessary order and putting together one vehicle at a time.

When you do things in bulk, you’re more efficient.

In order to be successful, it's imperative that you adopt similar strategies for your own operations of day to day life, which leads to a term I like to think I have coined myself:

Batchify: to analyse one's day to day processes and shift the performance of all similar tasks together so as to complete them in the shortest amount of time.

If you feel like you're struggling for time, perhaps it's worthwhile analyzing your own weekly routine to see if you can apply these principles. A great example is prepping your meals for the week on a Sunday. You can get all the cooking for the week done in a couple of hours, while visiting the grocery store once and only having to wash up once. It's not for everyone, but a great example of how a three hour exercise can save lots of time during the week.