ASFA’s Budget wish list
The Association of Superannuation Funds of Australia (ASFA) has called on the Federal Government to use next week’s Budget to abolish the current age-based contributions limits applying to people under 50.
In a wish list of outcomes from the Budget, ASFA not only called for the abolition of the age-based contribution limits, but also for a reduction in superannuation contributions tax and an expansion of the co-contributions regime.
Executive director of ASFA Philippa Smith said measures to increase Australians’ retirement savings were particularly apt in light of recent Australian Bureau of Statistics data revealing average superannuation savings per household were only just over $63,000, and that for a couple in the age group 55 to 64, the average super balance was just $168,000.
“Higher levels of savings are required to fund a comfortable retirement,” she said.
“Removing the tax on superannuation contributions or expanding the co-contribution regime would help to narrow the widely-recognised gap between current and more realistic levels of retirement savings.”
Smith said it was important to restore and retain incentives for savings, particularly when changes to personal tax rates occurred because incentives to save had been severely squeezed in recent years.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
