Morrison flags more flexibility in super

Morrison flags more flexibility in super

Treasurer Scott Morrison has reiterated that the government believes there should be greater flexibility with super contributions for those who have disruptions to their working life.

Mr Morrison suggested the current superannuation system effectively penalises Australians who take breaks from work and attempt to “regather the pace” with their super contributions.

“What we see is the need to have a system which ensures people can be independent in their retirement and not drawing on a pension. That's why I've talked about the need for greater flexibility on the contributions side for people who have disruptions to their working life,” Mr Morrison said in an interview with Sky News.

“I'm not just talking about women. We all know carers in our own lives who, through no fault of their own – through the worst deal of a hand in life's experience  find themselves caring full time for a partner, a loved one, a child, a parent and it's very hard for them to catch up. It's very hard for them to get back and regather the pace,” he said.

Mr Morrison also stressed the government is set on ensuring that superannuation is not a vehicle for intergenerational wealth transfer.

“So, what you'll hear from us on superannuation is [that it is] a program to help people be independent in their retirement and give them more opportunities to do that and have the tax incentive very focused on achieving that goal. Not to develop inheritance pools or things like this, but to ensure that people can be independent in retirement,” Mr Morrison said.

Read more:

Non-major bank warns SMSFs on overvalued property

BT Panorama adds to managed portfolios offering

Morrison flags more flexibility in super
smsfadviser logo
promoted stories

SUBSCRIBE TO THE SMSF ADVISER BULLETIN

Strategy