Setting objective of superannuation will help long-term focus

The Financial Services Council (FSC) has put forward an objective for superannuation, saying this will help take super policy out of the short-term budget cycle. The FSC says the legislated objective of superannuation should be: To deliver dignity and independence for all Australians in retirement by providing replacement income that is adequate to provide a… Continue reading Setting objective of superannuation will help long-term focus

Don’t base objective for super too much on age pension

The Tax Institute has warned against linking a legislated objective for superannuation too strongly to the age pension. The Government has been consulting on setting an objective for superannuation in legislation, following from a Financial System Inquiry (FSI) recommendation. The FSI proposed “to provide income in retirement to substitute or supplement the Age Pension” as the… Continue reading Don’t base objective for super too much on age pension

SMSF Association sets out objective for superannuation

The SMSF Association has set out its view on a legislated objective for superannuation. The Government has been consulting on what should be the objective of superannuation, to be put into legislation, following from a recommendation of the Financial System Inquiry. The SMSF Association recommends the following primary objective for superannuation: To provide income in… Continue reading SMSF Association sets out objective for superannuation

Superannuation ‘objective’ likely to be captured by industry

As the government moves closer to enshrining the objective of superannuation in legislation, it’s worth considering the unintended consequences that could come from such a move. Based on recommendations of the Financial Systems Inquiry (FSI), chaired by former Commonwealth Bank chief David Murray, the change to legislation is open to “intellectual capture” by industry participants.… Continue reading Superannuation ‘objective’ likely to be captured by industry

Submission: Objective of superannuation

This is a submission to the consultation process to set a legislative objective for superannuation. Thank you for the opportunity to make a submission in relation to legislating an objective for superannuation. This submission will deal with three issues: reporting on meeting the objective for superannuation, what the objective should include and the legislative location… Continue reading Submission: Objective of superannuation

Legislative objective for superannuation discussion paper released

The Government has started the process to enshrine in legislation an objective for superannuation, with the release of a Discussion Paper. “Having an agreed objective for superannuation is critical to securing trust and integrity. It is also a means for increasing confidence in the superannuation system as a whole,” said Assistant Treasurer and Minister for Small… Continue reading Legislative objective for superannuation discussion paper released

Retirement must remain purpose of superannuation: SMSF Association

The SMSF Association says the purpose of superannuation must remain providing self-sufficiency in retirement. Using superannuation for other purposes risks preventing the system from “providing people with income for a secure and dignified retirement.” Recent ‘though bubbles’ have included using superannuation for deposits for first home buyers and to pay for job training.