Only 7% of lump sums taken from super are used for a holiday.
Despite the government windfall on offer, changing the age at which people can access their super is likely to unfairly hit retirees with lower super balances.
Many retirees have the option to deplete their financial assets to bolster their standard of living.
AAP Image/Lukas Coch
In a system where the age pension is designed to be needs-based, a strong asset test seems like an appropriate tax on the practice of bequeathing assets like superannuation to the next generation.
Australians would be left with more to retire on if inefficiencies in the super sector were reduced.
The superannuation sector argues it is competitive, but that doesn't mean it's efficient.
Shadow Treasurer Chris Bowen has promised to cut super tax concessions for the rich.
The threat of constant change to the superannuation system overlooks its critical role in encouraging lifetime savings.
For every $1000 of assets the pension will be reduced by $3 a fortnight, under changes proposed in the federal budget.
AAP Image/Alan Porritt
The government has dropped plans to index age pensions to CPI and opted instead to tighten income and assets test. These are welcome changes but more needs to be done.
Treasury Secretary John Fraser now has plenty of company in calling for a ‘fundamental rethink’ of retirement income policy.
Over the last six months a public consensus has emerged among academics, think tanks, community organisations, elements of the superannuation industry and most politicians about superannuation.
Research has found when super funds share the same directors, fund performance can suffer.
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Super funds are being asked to improve board governance, and their starting point should be to consider stamping out multiple directorships.
One piggy bank for student loans and one for retirement.
Unpaid HELP debts are a problem, while super contributions may be lost. Should students use super to repay HELP?
Shadow treasurer Chris Bowen and Opposition leader Bill Shorten want to make changes to superannuation.
Labor's super plan would introduce new taxes to balance inequities in the system - but is this really a radical change, or tinkering around the edges?
Bill Shorten has revealed a Labor plan to remove the tax-free concession available to people with high annual superannuation incomes.
AAP/Rebecca Le May
A Labor government would crack down on the superannuation tax breaks enjoyed by high income earners, raising more than $14 billion over ten years, under a policy released by Bill Shorten on Tuesday.
Devoting time to looking after others can result in significant hidden costs to the carer.
If the 5.5 million unpaid carers didn't look after others – at the expense of careers and incomes – taxpayers would bear the costs, so as a community we should give carers a fairer deal in retirement.
Allowing people to raid their superannuation early is likely to have significant unintended consequences.
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Australia's retirement income system is unsustainable, and there seems little political appetite to tackle the big issues.
It was obvious Treasurer Joe Hockey’s superannuation suggestion wasn’t going to get traction.
Joe Hockey is the sort of guy who often leaps before looking too hard. This thought is particularly brought to mind by two completely different current manifestations of “Hockeyism”. One is Hockey’s thought…
Puzzling omission: the Intergenerational Report is light on detail about the future of superannuation.
A discussion about what superannuation will look like in the future is essentially from the Intergenerational Report.
Can everyone be a winner from comprehensive tax reform?
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Just what are the issues we need to watch when it comes to tax reform? Read this explainer.
A closer analysis of ‘generation war’ debates reveals that inequalities within generations remain far more significant than those between them.
The political debate over generational equity, which has been rekindled in the past week, now dominates discussions over wealth, government spending and fiscal sustainability. But a closer look at some…
The Financial System Inquiry says the purpose of superannuation is to provide a retirement income that can substitute or supplement the age pension.
David Murray’s Financial System Inquiry may call for the removal of superannuation tax breaks but the government’s tax discussion paper, due to be released next week, is unlikely to advocate similar changes…
Big nest egg or small: shouldn’t super fund trustees meet the same professional standards as individual financial planners?
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Finally, Financial System Inquiry chairman, David Murray, has brought some consistency into two hot debates running in finance. Parliament, financial media commentators and a whole range of vested interests…
Australia’s children and grandchildren will not enjoy the fruits of the country’s prosperity as much as their parents.
Having enjoyed continuously increasing prosperity since the Second World War, Australians have come to expect that each generation will live a better life than the last. But this steady progress may be…
Delaying the super guarantee increase will have widespread repercussions.
The Abbott government’s deal with the Palmer United Party to freeze the minimum superannuation contribution rate at 9.5% until 2021 will not only cost retirees, it will also see future governments forced…