$450 threshold needs to be removed
The superannuation $450 monthly income threshold needs to be removed as 18 per cent of women who have a job do not reach the threshold, Australian Institute of Superannuation Trustee (AIST) and Women in Super said in the lead up to International Women’s Day.
Data from an AIST commissioned Essential Media survey found that twice the amount of women than men were affected by the threshold limit, with the highest proportion affecting women between the ages of 18 and 35.
Another 42 per cent of women who earned less than $450 a month from one employer were not receiving super.
AIST acting chief executive, Eva Scheerlinck, said super should be universal and the threshold needed to be removed, particularly as modern payroll systems made it easier for employers to meet their obligations.
“With increasing casualisation of the workforce, the $450 threshold will continue to impact on both women and men – many of whom are low income earners and need all the super they can get,” she said.
Women in Super chair, Cate Wood, said: “One-in-three women currently retire in poverty and it is time to break with the past and take the fair and rightful step forward by implementing structural changes that deliver real improvements to women”.
Recommended for you
The month of April enjoyed four back-to-back weeks of growth in financial adviser numbers, with this past week seeing a net rise of five.
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With the election taking place on Saturday (3 May), Adviser Ratings examines how the two major parties could shape the advice industry in the future.
