Enshrine super objective: SuperConcepts
The government has been called to define and enshrine the objective of the superannuation system in legislation as the industry pushes back on repeated tinkering.
With the commencement of the 46th Parliament today, SuperConcepts chief executive Lara Bourguignon has launched a campaign to define the objective of the superannuation system and to enshrine this objective in legislation.
Ms Bourguignon said she hoped the #Time2Enshrine campaign would help kick-start conversations around how to enhance confidence in superannuation.
“We know from previous surveys that the constant changes to the super rules are the biggest ‘turnoff’ when it comes to contributing more to super, which affects retirement income,” Ms Bourguignon said.
“Superannuation is the most tax-advantaged retirement savings vehicle, and it’s disappointing these concessions and the advantages of making voluntary super contributions are often overshadowed by the constant fear of rule changes.”
She added: “It’s now time for the objectives of super to once and for all be enshrined in the legislation to avoid such a clash of policy ideas and the potential impact on people’s lives.
“We need to define the objectives of super, which in our view should be aspirational and encourage self-provision in retirement.”
Ms Bourguignon said an incoming review of the retirement income system meant it was more important than ever to enshrine the objective in legislation.
“We believe the objective of super should portray super not only as a safety net but also as a vehicle which targets financial independence and a dignified retirement for all Australians,” she said.
“We believe this objective must be enshrined in the legislation and a mechanism put in place to compel policymakers to refer to this objective when assessing competing super proposals.
“Without this mechanism in place, enshrining the objectives of super would serve little purpose.”
