THEY care more about their next Facebook status than retirement but young people’s indifference could cost them in the long run, experts warn as they call for better financial education for school students.

While superannuation is one of the most important financial accounts, research shows 67 per cent of people younger than 25 do not think about it because retirement is so far away, according to a report in the Daily telegraph.

Financial Literacy Foundation Advisory Board’s 2007 study of people’s attitudes to money also found only 50 per cent of youth save regularly, even though 72 per cent think it’s a good idea.

But it’s not just the younger generation that don’t fully understand super and the benefits it can provide.

Superannuation has the potential to be an extremely tax effective savings vehicle. Of more recent times Self Managed Super funds have become extremely popular

Self Managed superannuation is a vehicle that gives you freedom of investment choice allowing you to take greater control of your retirement.

Over the last decade, the growth in SMSFs has been phenomenal and is one of the fastest growing segments of the superannuation industry. The impetus for this growth is threefold: the desire for more control by fund members, the advent of Super Choice and the increased focus on retirement planning. There are now over 400,000 self managed super funds registered with the ATO which hold in excess of $326 billion in assets. Over 1,500 new funds are being established each month.

Whether an SMSF is suitable will depend on your circumstances but is proving to be the vehicle of choice for Australians in ever increasing numbers.

Whilst this may not be something that is right for everyone, one thing is for certain – we should all be thinking of our retirement.  I think it time to book an appointment with my financial planner…