Women set to gain from boost to super funds

Women in part-time roles and low-income earners will be some of the first groups to gain from money generated by the new mining tax.

Getting on top of personal and household finances is a box waiting to be ticked on the to-do list of many working women.

But there are a range of factors that need to be taken into consideration when planning ahead.

For a number of women one of the most difficult transitions in life is the move from singledom to that of a mum with kids.

And this is especially true for those who are also juggling the pressures of a busy career on top of their already full work load.

Yet another important change happens around the time of retirement, as people start to reassess their self-image and their bank balance.

In Australia, employers are required to make regular instalments into the superannuation funds of their employees in order to help them save for the future.

The amount of money that is actually placed into these retirement programs is based on a portion of your salary or wages – which is why the number of hours you work, as well as the industry you work in can make such a difference to your super fund.

However, a number of people are finding they may have to continue working past retirement age due to insufficient funds and women in particular are falling behind when it comes to superannuation contributions.

The Westpac Women's Financial Health Report, which was released in September this year, found that 35 per cent of women "have no idea or a vague idea of their super found balance".

While as many as 64 per cent of women said raising children had a direct impact on their ability to participate in the full-time workforce, which also meant that any payments made to their super fund were also reduced.

With this in mind it is not surprising that policy makers, banking leaders and social welfare experts are putting in their two cents when it comes to retirement funds.

And while the news that the federal government has passed a new mining tax may not appear to relate directly to women, it will likely have a significant impact on retirement funds.

About 30 per cent of the money generated, which is said to be around the $11.1 billion mark, by this tax will be put towards different national projects, one of which will be the new savings initiative that will raise the superannuation guarantee rate from nine to 12 per cent – a move that will surely help those in part-time or low-income jobs save for a sunny retirement.