The prevailing view is that investment returns will be "lower for longer". This means you shouldn't expect your superannuation and investment assets to generate the same healthy returns they have in the past.
Clearly disappointing, but your financial assets are not the only path to a comfortable retirement. Instead, your ability to earn a salary (your human capital) is a valuable asset and one that should be nurtured over time.
![Speak up, and put your hand up.](/web/20170108222645im_/http://www.theage.com.au/content/dam/images/g/i/r/v/9/j/image.related.articleLeadwide.620x349.gtdqyx.png/1482092697795.jpg)
If you're young, a super balance of $50,000 pales in comparison to an annual salary of $80,000 for the next 20 years. Similarly if you're nearing retirement, continuing to earn a salary (even on a part-time basis) can alleviate the need for your financial assets to solely support you.
The salary you earn drives the value of your human capital and in this low-return world, your human capital is increasingly valuable. So let's look at a few simple ways to get the most out of it.
1. Your network equals your net worth
Whether it be within your workplace or outside of it, expanding your network is a sure-fire way of increasing your personal capital value. Networking increases your industry or organisational knowledge, enabling you to bring better ideas and solutions to the table. It also creates potential employment opportunities. No doubt it's awkward to introduce yourself to strangers at networking or company events, but make it your personal mission to get to know "who's who in the zoo". And, in case "who's who" wants to look you up, ensure your LinkedIn profile puts your best foot forward.
2. Continuing education
Learning (formally or informally) is a great way to stay relevant and keep your ideas fresh. Don't underestimate the value of getting out of the office, even for a day, to attend a workshop or conference. Not only are you learning from experts, you're creating an opportunity to learn from your peers – and network with them. It's also an efficient way of racking up professional development points, if this is a job requirement.
Structured learning through a university or professional association can work to either take your career in a different direction or develop an area of specialisation. Many workplaces support part-time study, so chat to your boss to see if there is funding available.
3. Speak up (or put your hand up!)
While you're hitting your boss up for some education funding, you may as well explore any promotions that may be coming up or any stretch projects you think could be valuable to the organisation (and your personal brand). Remember, bosses don't read minds – if they don't know you're seeking advancement or development opportunities, you may simply be overlooked because you weren't on their radar.
4. Develop your own board
Mentors are invaluable. But why stop at one? It's important to develop a close group of trusted advisers – one adviser may not always have the right experience to advise you on the issue at hand. And if you happen to identify someone who you don't know but you think may be best placed to help you, don't be shy – see if they will have a coffee with you. Through social media people are increasingly accessible and it's incredible how generous most people will be with their time if you just need a little bit of advice.
Getting the most out of your human capital doesn't just mean fronting up for the daily grind. Be strategic about it – stay relevant and stay in touch. Invest in yourself and watch your human capital grow alongside your super and investment assets.
Annika Bradley is a financial services consultant and commentator who is passionate about financial literacy and adequate retirement incomes for Australians.