If someone told you that: “You were about to have a million dollars (or more) taken from you!” What would you do? Almost every sane person would move heaven and earth to stop the thief and retain the million dollars.

What if you are the thief who is robbing from yourself? Read on, and I will explain why.

Australians are lucky to have incredible superannuation incentives (Super). Super is an excellent vehicle to build long term wealth for you and your loved ones. It provides the two essential elements necessary to harness the awesome power of compound interest, being: compounding rate and time:

1)  Income and capital gains in super are taxed at between 10 to 15% maximum with nil tax for those aged over 60 (who convert their super to their own private account based pension). This assists you to achieve a better after-tax ‘compounding rate’.

2) Wise people contribute more to their super contributions than just the compulsory employer contributions. Generally contributions cannot be accessed from super until they retire. This gives compounding the ‘time’ it needs to grow.

‘Super Riches’ is the result and the term I created in my last book to describe the results for those people who make the extra effort to take super seriously. This can increase many people’s retirement capital by over a million dollars, for many people.

Every week I talk with people who choose to have their super in an industry or retail super fund. Less than 5% of those people can give me a good idea of: what they are invested in; and their plan to make their super work harder. Most of them have been incorrectly indoctrinated to believe that they cannot get better returns elsewhere. Look at the image on the front page of my website www.wiseadvisers.com.au if want a stark contrast of the awesome power of compound interest.

Chapter 1 of my latest book ‘Invest Wisely and Grow Rich’ explains compounding in more detail, with practical examples. You can download this for free from my website or by registering there to receive future newsletters. My book explains- if you compound $100,000 (with no additional contributions for 27 years) at different rates, you will receive at:

        8% return- $   400,000

       11% return- $   800,000

       14% return- $1,600,000

The bottom line is if you make your super (or other investments) grow at 14% instead of 8% you will earn over $1.2 million more.

For those who let their super snooze away and do not make the extra effort, they will rob themselves of over $1,000,000 of future retirement savings for them and their loved ones.

Well over 30,000 people read my first book ‘How to Build Riches’. It has been estimated that well over a Billion dollars was made by those readers who took action in the ASK formulae and ideas from that book.

Do not be the thief that robs from their own retirement and legacy. Commit to find out more. Do what it takes to make you super and retirement savings grow while you work. Then it will still work for you for 20 to 40 years after you stop working and start enjoying the income stream that you created for yourself and your loved ones.

It has never been easier than it is right now to earn great returns. However, there are enormous challenges coming from 2022 to about 2025. Invest Wisely and Grow Rich also explains: the 1 in a 10,000-year opportunity that is happening right now; how real estate and shares can both be your friends; how a ‘virtuous cycle’ becomes a ‘virtuous cycle’; how to change paradigms for new opportunities; and much more.

If it was simple, then everyone would become rich. There are challenges ahead. They include: the ageing population (worldwide); the economic cost of the money spent after Covid-19; there will be at least one more GFC in the coming years; the shift of power and consumption from the west to China and India; etc.

There are many ways to make the awesome power of compound interest work for you. If you want to read more, download for free, chapter one- ‘Compounding: The Eighth Wonder of the World’ from my book Invest Wisely and Grow Rich.

In coming blogs, I will identify how: the investment world has changed; compound interest can work to you to make you that extra million that most people will rob from themselves; to make even more money when the next Global Financial Crisis hits as soon as later this year.

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