Dixon Advisory backs super changes for over 65s
Leading financial advisory firm, Dixon Advisory, has backed measures announced as part of tonight’s Federal Budget aimed at helping older Australians face the challenges of saving and funding for retirement.
While the firm’s head of advice, Nerida Cole, expressed concerns as to how economic and political uncertainty could have long-term impacts on Australians’ retirement savings, she welcomed three changes aimed at over 65s.
The changes included removing the work test, allowing people aged 65 and 66 to access the “bring forward” contribution rules, and extending the eligibility age for the spouse contribution tax offset up to 74 years of age.
“These changes will remove some of the barriers faced by older Australians in boosting their super at retirement at a time when they need it most,” Cole said.
“They’ll also help couples restructure their super to ensure a more even split between both individuals.”
Cole said changes to the spouse contribution tax were particularly important given female baby boomers often hit retirement with a significantly lower super balance than their male partner due to historical systemic barriers.
“More flexibility for older Australians means it will be easier for them to fund their retirement,” she said.
AUTHOR
Anastasia Santoreneos
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
