Frozen Super Guarantee rate has cost median worker $4,333 so far

Having the the Superannuation Guarantee rate frozen at 9.5% has cost the median worker more than $4,000 over the past five years, and the losses are likely to continue, analysis by Per Capita has found. The Superannuation Guarantee rate has been frozen at 9.5% for several years, though it’s legislated to gradually increase and reach… Continue reading Frozen Super Guarantee rate has cost median worker $4,333 so far

Keep SG rate at 9.5%, reduce tax concessions to fund health: ACOSS

ACOSS has recommended freezing the Super Guarantee rate at 9.5%, while winding back superannuation tax concessions to fund health and aged care services. The Australian Council of Social Service (ACOSS), in a submission to the Review of Retirement Income, and drawing on the work by the Grattan Institute, recommends the Super Guarantee rate remain at… Continue reading Keep SG rate at 9.5%, reduce tax concessions to fund health: ACOSS

80% of cost of Super Guarantee rate increases passed on as lower wages

New economic modelling by the Grattan Institute finds that around 80% of the cost of increasing the Super Guarantee rate is passed on to workers as lower wages. Part of the ongoing debate about increases to the Super Guarantee rate has been about how much, if any, of the cost is paid by workers. The… Continue reading 80% of cost of Super Guarantee rate increases passed on as lower wages

Retirement Income Review consultation paper released

The Retirement Income Review has started, with Treasury releasing the consultation paper. The Government has tasked the three-person Retirement Income Review panel with investigating how the retirement income system supports retirement, the role of each pillar of the system, impacts over time and across the population, and the impact of current policies on the Budget.… Continue reading Retirement Income Review consultation paper released

False narratives risk undermining the superannuation system

A senior member of the superannuation industry has warned that the retirement income system risks being undermined. Association of Superannuation Funds of Australia (ASFA) CEO Dr Martin Fahy told the ASFA conference that “superannuation is currently in the grip of a contagious false narrative which risks undermining the retirement outcomes of Australians”. “Thirty years on… Continue reading False narratives risk undermining the superannuation system

Vital signs. Our compulsory super system is broken. We ought to axe it, or completely reform it

Written by Richard Holden, UNSW. The just-announced inquiry into Australia’s retirement income system ought to be anything but run-of-the-mill. Taking place 25 years after the introduction of compulsory superannuation, it provides an opportunity to either fix a broken system, or discard it as failed experiment. Incremental reform won’t work. There’s a budget problem The first… Continue reading Vital signs. Our compulsory super system is broken. We ought to axe it, or completely reform it

Postcode by postcode: a clever way to include homes in the age pension assets test

Written by Anthony Asher, UNSW. Here’s the boldest idea the government’s inquiry into retirement incomes should consider but might not: no longer exempting all of the value of each retiree’s home from the pension assets test. The test would merely exempt part of the value of retirees’ homes. The change would free-up funds to support… Continue reading Postcode by postcode: a clever way to include homes in the age pension assets test

Push to include women’s outcomes in Review of Retirement Income System

A group of high-powered women and men are pushing to ensure that women are not left out of the Review of the Retirement Income System. Coordinated by Women in Super, a long list of prominent people – including CEOs of superannuation funds and academics – have signed an open letter to Treasurer Josh Frydenberg, calling… Continue reading Push to include women’s outcomes in Review of Retirement Income System

Lower income earner view should be on Retirement Income Review panel

The Australian Council of Social Service (ACOSS) is calling for an expansion of the Review of the Retirement Income System panel to include someone with expertise about the needs of people on lower incomes. “While ACOSS welcomes the review, the panel does not include expertise from community organisations representing and working with people on lower… Continue reading Lower income earner view should be on Retirement Income Review panel

Labor doesn’t think much will come of Retirement Income Review

Labor doesn’t expect much to come of the Review of the Retirement Income System, arguing it is compromised by internal Coalition politics and an appointment to the review panel. Labor backbencher Ed Husic told Sky News: “I don’t think a Josh Frydenberg initiated review is going to come to much, and here’s why, because Josh… Continue reading Labor doesn’t think much will come of Retirement Income Review