Regulation will be a dominant factor in the future of the superannuation industry. This is a finding of the joint report by the Australian Institute of Superannuation Trustees (AIST) and BNP Paribas Securities Services: 2025: What will the superannuation industry look like in a decade?
40% of respondents said that regulatory change will be the single biggest risk to the superannuation industry in 2025.
Following release of the Intergenerational Report 2015 the Australian Institute of Superannuation Trustees (AIST) has called for the Government to review the proposal to lift the Age Pension eligibility age to 70 by 2035.
The AIST says the Intergenerational Report (IGR) provides no evidence supporting an increase to the age pension age, instead projecting that “future pension costs in our ageing population are manageable in existing policy settings.”
The Australian Institute of Superannuation Trustees (AIST) has urged the Government to reject the Board of Taxation recommendation to change the minimum superannuation guarantee threshold.
The recently released Board of Taxation report, Review of Tax Impediments Facing Small Business, included a recommendation to change the monthly minimum threshold of $450 for superannuation guarantee payments to a quarterly minimum of $1350, see Board of Taxation recommends changes to super guarantee.
The AIST has rejected this option, with CEO Tom Garcia saying “any move to raise the exemption threshold would unfairly penalise low income workers.”
The Australian Institute of Superannuation Trustees (AIST) has called on the Government to not change the requirement to separately disclose the Low Income Superannuation Contribution (LISC).
The AIST claims that the Government is planning to repeal regulations which require that the LISC be separately disclosed on super fund member statements. If repealed the LISC could be bundled with other concessional superannuation payments, such as the government co-contribution.
The AIST is concerned this will “effectively mask the benefits of LISC to millions of members”
The Australian Institute of Superannuation Trustees (AIST) has called for the Government to accelerate the transition to MySuper default super funds from “high-fee bank-owned default super funds.”
Under the Stronger Super changes superannuation fund trustees have until 1 July 2017 to transfer the balances of existing default members to a MySuper product.
This means that “hundreds of thousands of consumers are paying higher fees for their super and missing out on the benefits of the MySuper reforms,” said AIST Executive Manager David Haynes.