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Sunday, May 06, 2007

We're not saving enough for super

Warning: we're not saving enough for super : "Behavioural theorists will tell you that people often (wrongly) think that whatever they will be doing later will not be as important as what they are doing now, so they procrastinate. Procrastination tends to lead to inertia, which is something that has been clearly identified in the retirement savings domain."
Nothing to do with procrastination. A lot to do with long working hours, interminable meetings and the need to keep things simple. To change super things is actually too convoluted. If I could go to a web site and make changes online I probably would do it quickly. If I could know what to do to make an improvement , I would do it. Salary sacrificing doesn't seem quite right and yet others embrace it. It's all a bit too woolly. Keep it simple and make it simple and people will do it. We just can't keep making all these changes and filling out this and that and getting this information there and that information there. It is not clear...and it most certainly is not straight forward. Were it like internet banking, I think people would manage and change.

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