Tax concession cut will slow super growth
For more Australians to be self-reliant in retirement, there should be no reduction in tax concessions, according to Xpress Super and Super Guardian chief executive, Olivia Long.
Commenting on the Government's 2015 Intergenerational Report, Long said that because the population is ageing the country needs a bipartisan approach to get the right policy settings and needs to remove superannuation from the political cycle.
"What we need to ensure is that we have a superannuation system that is increasingly able to allow people to be self-reliant in retirement," she said.
Long said that the accumulation phase and the importance for generating income streams to fund retirement had become more critical
"I just hope the bipartisan answer is not to cut the tax concessions," Long said.
The report projected that by 2054-2055 there will be seven million Australians aged 65 to 84, compared with 3.1 million today.
"Unless we get the right policy framework then future governments will face fiscal constraints, the inevitable result of an ageing population supported by fewer people in the workplace."