Government delivers on super threshold
The Government has moved as expected to deliver on a long-held request from the superannuation industry to remove the $450 a month minimum income threshold for the superannuation guarantee (SG).
The Treasurer, Josh Frydenberg, announced in the Budget that the Government believed that the measure would improve the economic security in retirement for around 200,000 women.
At the same time, the Government confirmed that it was making the work test easier for older Australians making it easier for them to make voluntary superannuation contributions at the same time as extending the scope of the downsizer scheme.
Frydenberg said the downsizer scheme would now be available to those aged over 60, enabling them to contribute up to $300,000 into their superannuation if they downsized their home, freeing up more housing stock for younger families.
As well, he said the Government would enhance the Pension Loan Scheme by providing immediate access to lump sums of around $12,000 for singles, and $18,000 for couples.
Recommended for you
Financial Services Council chief executive, Blake Briggs, is urging Minister for Financial Services, Stephen Jones, to take advantage of the QAR opportunity to reduce regulatory duplication and ensure advice is affordable.
Former chair of the House of Representatives’ Standing Economics Committee, Tim Wilson, is planning a return to politics after losing his seat in the 2022 federal election.
Morningstar is going to offer research ratings of funds in the $3.5 trillion superannuation sector for the first time in response to demand from financial advisers.
Treasurer Jim Chalmers has opened a consultation into the design of the annual superannuation performance test, canvassing views on a range of reform options.
