Reallocate tax to help super
A reallocation of resources by the Government is needed to close the gender gap in superannuation, NGS Super believes.
While raising the super guarantee to 12 per cent will benefit members it does not address the gender issue, NGS Super chief executive Anthony Rodwell-Ball said.
"The Government and country can't afford to find more money to subsidise. It's a question of reallocation of resource," he said.
"If you're going to give people a baby bonus and family allowance, maybe divert some of that money away from that tax and towards super contributions as a consideration, but of course that needs to be modelled."
Rodwell-Ball also said super funds had the responsibility to help younger members leverage their money, especially if there had been a period of no contributions.
"If a 30-year-old female member has not made a contribution for a year and then comes back on half the contributions it doesn't take much brain power to work out that she probably had a baby," he said.
"Super funds need to write to that person and ask for a serious consideration from their member on salary sacrifice to make up the loss of contributions."
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