POWERED BY MOMENTUM MEDIA
Low-income earners should not opt out of super
The Australian Institute of Superannuation Trustees (AIST) has shut down calls to allow low-income earners to opt out of super, arguing it would have ramifications on part-time workers and women who currently retired with about half the super of men.
The peak body for industry funds said the move would not be in the interests of the long-term fiscal sustainability of the retirement income system, or future generations of taxpayers to fund the Age Pension.
The comments came in response to media reports that reported on a pre-budget submission from an unnamed industry group, which proposed that those earning less than $37,000 a year should not have to contribute to their superannuation, and could effectively receive a 9.5 per cent pay rise if they were to take home their super.
AIST executive manager policy, David Haynes, said the long-term benefits of super should not be underestimated.
"Super is not the solution to plugging budget holes or lifting wages — it's about improving retirement outcomes for all Australians and that includes those on low incomes," he said.
"It doesn't matter if you are a full age pension, a part pensioner or a self-funded retiree, every extra dollar of super makes a difference."
Recommended for you
A ratings firm has placed more prominence on governance in its fund ratings, highlighting that it’s not just about how much money a fund makes today, but whether the people running it are trustworthy, disciplined, and able to deliver for members in the future.
AMP has reached an agreement in principle to settle a landmark class action over fees charged to members of its superannuation funds, with $120 million earmarked for affected members.
Australia’s second-largest super fund is prioritising impact investing with a $2 billion commitment, targeting assets that deliver a combination of financial, social, and environmental outcomes.
The super fund has significantly grown its membership following the inclusion of Zurich’s OneCare Super policyholders.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
