Changes to Superannuation 2014

Month-by-month tracking of changes to superannuation and SMSFs, for the 2014 calendar year.

Changes to Superannuation: December 2014

Changes to Superannuation: October 2014Changes to superannuation in December 2014 included the release of the Financial System Inquiry final report, MYEFO and a bill introduced to Parliament to allow for refunding of excess non-concessional contributions.

Financial System Inquiry

The final report of the Financial System Inquiry was released, with several recommendations for superannuation:

  • Ban SMSF borrowing
  • Legislate the purpose of superannuation
  • Extend choice of fund to all employees
  • A ‘Comprehensive Income Product for Retirement’ (CIPR)
  • Require public offer superannuation fund boards to have a majority of independent directors

Read More »Changes to Superannuation: December 2014

Changes to Superannuation: November 2014

Changes to Superannuation: October 2014Changes to superannuation in November 2014 included the Senate disallowing the Government’s changes to FoFA by regulation, with most pending changes being pushed back as the Parliament deals with other business heading into the Christmas break.

Future of Financial Advice (FoFA)

The Senate disallowed the Corporations Amendment (Streamlining Future of Financial Advice) Regulation 2014, after Senator Jacqui Lambie and Ricky Muir joined Labor, the Greens and independents John Madigan and Nick Xenophon. This applied immediately and so reverted to the original FoFA legislation.

The Government has announced a deal with the opposition to make new regulations to reinstate some of the changes to FoFA.

Read More »Changes to Superannuation: November 2014

Changes to Superannuation: September 2014

Changes to superannuation: September 2014Changes to superannuation in September 2014 include a slowing in the rate of increase in the superannuation guarantee, a temporary reprieve for the low income superannuation contribution and likely changes to superannuation contributions reporting on payslips.

Changes to superannuation

Super Guarantee slowed further

First the Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 [No. 2] was laid aside. Then the Minerals Resource Rent Tax Repeal and Other Measures Bill 2014 quickly made it’s way through the House of Reps and the Senate after the Government made a deal with the crossbenches, including the Palmer United Party. This Act dramatically pushes back the scheduled increases in the superannuation guarantee.

Under the new rates the superannuation guarantee will stay at 9.5% until 1 July 2021, and reach 12% from July 2025. It was previously scheduled to reach 12% from 1 July 2019. This is a slower increase than the Government had announced either in the first attempt to repeal the Minerals Resource Rent Tax or in the 2014 Budget.

For more detail on this change see the article: Superannuation guarantee to stay at 9.5% until July 2021.Read More »Changes to Superannuation: September 2014

Current State of Superannuation Changes: August 2014

Superannuation Changes - July 2014Pending Superannuation Changes – August 2014

Super Guarantee & LISC

The Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 [No. 2] was back in the House of Reps on the 26th of August, but it’s still unclear what is going to happen to the Government’s related plan to slow the increase in the superannuation guarantee rate and repeal the LISC.

FoFA

On the 28th of August the House of Reps passed the Corporations Amendment (Streamlining of Future of Financial Advice) Bill 2014, after amendment by the Government to implement some of the changes promised to the Palmer United Party. These changes were part of the deal to get the votes to defeat the disallowance of the FoFA regulations in the Senate. The amendments can be found on the Parliament website here (PDF).

Read More »Current State of Superannuation Changes: August 2014

Current State of Superannuation Changes – July 2014

Superannuation Changes - July 2014

Pending Superannuation Changes – July 2014

Minerals Resource Rent Tax

Slower increase in Superannuation Guarantee

The Government had intended the  Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 [No. 2] to slow the rate of the Superannuation Guarantee and repeal the Low Income Superannuation Contribution (LISC), among other changes. However as the Government hadn’t changed the Superannuation Guarantee rates in the bill from March, when it was first submitted, it did not reflect the SG rates  announced in the 2014 Budget. When the Government tried to amend the SG rates in the bill it was blocked by the Senate. Instead the Senate passed amendments stripping out the changes to the Super Guarantee – meaning it would stay at the currently legislated rates.

Read More »Current State of Superannuation Changes – July 2014

Current State of Superannuation Changes – EOFY 2013/14

Superannuation Changes

An update of superannuation changes at the end of the 2013/14 financial year, including the current state of superannuation changes passed, working their way through parliament, or un-legislated.

Superannuation Changes 2014 – June

Passed

Temporary Budget Repair Levy

The following superannuation-related bills to implement the Budget Repair Levy have passed both houses:

Protection for anticipation of certain discontinued announcements

Following a Treasury consultation the Tax and Superannuation Laws Amendment (2014 Measures No. 2) Bill 2014 has passed both houses of Parliament, pending Asset. The bill gives effect to protections for announced but un-enacted tax and superannuation changes.

Read More »Current State of Superannuation Changes – EOFY 2013/14

Current State of Superannuation Changes 2014: May

Superannuation Legislation & UpdatesAn update of superannuation changes 2014 for the month of May, including the current state of superannuation changes passed, working their way through parliament, or un-legislated.

Treasurer Joe Hockey caused some speculation that there will be further changes to superannuation in his appearance on Q&A, but quickly returned to the line of  no “adverse changes in superannuation in this term of government” in a press conference the next day. However he did leave the option open of future changes, saying “if there’s any changes they will be, obviously, on the horizon”.

Read More »Current State of Superannuation Changes 2014: May

Current State of Superannuation Changes – April 2014

Superannuation Legislation & Updates

An update on the current state of superannuation changes passed, working their way through parliament, or un-legislated.

 

Passed

Deeming Rules

The extension of the deeming rules to Account-Based pensions was passed as part of the Social Services and Other Legislation Amendment Bill 2013.

Pending

Superannuation Guarantee and Low Income Super Contribution

Two announced super changes are contained in the Minerals Resource Rent Tax Repeal and Other Measures Bill 2013, the slowing of the increase to the Superannuation Guarantee and the cancelling of the Low Income Superannuation Contribution. However this bill is currently marked as ‘Not Proceeding’ on the APH website, due to it not passing the Senate. It is expected this bill will reappear in one form or another in 3 months time or after the new senate takes over.

Read More »Current State of Superannuation Changes – April 2014