The Self-Managed Superannuation Fund (SMSF) Association has supported the government’s decision to draft laws to assist Australians aged 65 years and over to boost their retirement savings.
The legislation would amend the Superannuation Industry (Supervision) Regulations 1994, to allow people aged 65-66 to make voluntary contributions without meeting a work test, and for those aged 70-74 to receive spousal contributions by increasing the maximum age from 69 to 74.
The bring-forward arrangements, to make up to three years of non-concessional contributions, would extend to people aged 65-66, which would take place from 1 July, 2020.
John Maroney, SMSF Association chief executive, said the changes recognised they are needed for Australians to have greater flexibility as they transition into retirement.
“Work patterns are constantly changing, so it is essential the legislation underpinning superannuation changes too to help ensure Australians can accumulate sufficient savings to have a secure and dignified retirement,” Maroney said.
“It has long been the association’s policy position to support greater flexibility for making contributions to superannuation.
“Although our preference is to remove the work test altogether, this measure is a step in the right direction, and the Government is to be commended for implementing this election promise.”