Superannuation is a special kind of savings or investment that gets "locked away" through his/her employment so he/she has money put aside for when he/she stop working (retire). Every employer has to pay a certain amount to a superannuation fund for each of its employees who satisfies the Superannuation Guarantee (SG) conditions. If he/she is regularly employed and he/she qualifies for SG, his/her employer should be paying 9% of what he/she earns into a superannuation fund for him/her.
An employer does not have to pay SG for its employee if:
-he/she earns less than $450 in a particular month
-he/she under 18 and work less than 30 hours a week
-he/she is paid to do domestic/private work for 30 hours or less each week
The people or companies in charge of superannuation funds are called trustees. They look after all the money that comes in for members of their fund, and invest it in different ways. They have to follow laws that are specifically designed to keep his/her money safe until he/she retires. Their duty to him/her is governed by a legal document called a trust deed.
One of the big differences between superannuation and other kinds of savings or investment is "preservation". Essentially, this means that his/her savings are "preserved",which means that they can not be touched until he/she reaches retirement age (usually, this is 60 years old).
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Terrific work! A brief and very iformative report on superannuation. I must say you are the only one who have done the Lawstuff project. I really appreciate your hard work and hope all this will help you to reach your goal. Thanks for blogging...
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