POWERED BY MOMENTUM MEDIA
Government must keep SG increase
The superannuation savings of a significant proportion of women would be substantially affected should the Government fail to increase the superannuation guarantee (SG) from 9.5 per cent to 12 per cent, according to Rice Warner statistics.
The modelling showed a 25-year old woman earning $35,000 a year stood to lose 15 per cent, over $41,000, from her retirement balance if the government chose to abandon the SG increase.
The statistics also showed that having time off to have two children and working part-time for nine years would reduce her savings by a further $35,000.
The results followed a Grattan Institute report released earlier this week calling on the Government to abandon any increased to the SG.
Women in Super chair, Cate Wood, dismissed the Institute’s position, suggesting that it risked jeopardising the retirement future of women.
“The Government has already delayed the SG increase, leaving many women poorer for it. Australian women cannot afford further delays,” she said.
Noting that 40 per cent of older, single retired women experience economic insecurity in retirement, Wood said the policy settings needed to change in order for the outcomes to change.
“Currently, more than half of working women do not receive any of the $30 billion in tax concessions spent each year to help Australians save for their retirement,” she said.
“These concessions could be better targeted. An additional annual government contribution into the super accounts of low income earners is something policy-makers could consider.”
Women in Super also suggested the removal of the $450 monthly super pay threshold, paying super on parental leave and better monitoring the impacts of policy change.
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.46 3 y p.a(%)
4
Pengana High Conviction Equities B
39.12 3 y p.a(%)
5
Pengana High Conviction Equities A
39.05 3 y p.a(%)
