Trish Power’s fantastic independent superannuation newsletter SuperGuide raises an interesting question in its February issue: when is it too late to start saving for your retirement?

The short answer is never. As long as you have a heartbeat and you’re fit enough to work you should be putting money aside for your retirement. If you’ve never focused on maximising your savings in retirement, as you near retirement age it’s easy to be defeatist and think, well, it’s all too late. But while you’re working there are always things you can do to improve your financial position once you leave work.

Step 1 – work as long as you are able

The longer you work, the more money you will have and the longer you can wait to touch your super. Working as long as you are able will also keep your mind active, and your self-esteem will also benefit from continuing to make a valuable contribution to society. Don’t forget that as long as you are gainfully employed your employer must contribute nine percent of your salary to a super fund, which means your retirement savings continue to grow.

Step 2 – salary sacrifice

Sacrificing a small amount from each pay packet into your super fund has twin benefits. You reduce your taxable income and therefore the tax you pay. Plus, you’re also contributing to your retirement savings. Even contributing as little as $20 a week will make a difference to your savings in retirement. But if you can, contribute as much as possible, within government limits. At the moment someone 49 and under can salary sacrifice $50,000 a year into their super fund without penalty, for people aged more than 50 this amount is $100,000.

Step 3 – co-contributions

Low and middle-income earners can also take advantage of the Australian Federal Government’s co-contribution scheme. If you contribute up to $1,000 into your super fund each year the government will match this amount. You don’t even have to contribute the full $1,000 – the government will match the amount you contribute into your super fund for any amount less than $1,000.

Step 4 – spouse contributions

A spouse contribution is a payment made into a super fund for your spouse or defacto. Doing this can entitle you to a tax offset of up to $540, or 18 percent of contributions up to $3,000. To qualify for the offset your partner must earn less than $13,800 a year.

Remember the information above is of a general nature only. If you’re worried about your financial situation as you approach retirement it’s a great idea to seek advice from a professional who will take your unique circumstances into account when giving you financial advice.