Women the winners from co-contribution scheme
WOMEN have emerged as the major beneficiaries of the Federal Government’s superannuation co-contribution regime, according to data released by the Commonwealth last week.
The data, released by Assistant Treasurer Mal Brough, shows 63 per cent of co-contribution beneficiaries are women, receiving an average payment of around $570, while the remaining 37 per cent of men receive an average payment of around $495.
The co-contribution data also revealed that more than 47 per cent of beneficiaries were baby boomers, aged between 46 and 65.
Commenting on the data, Brough said the co-contribution regime had proved successful for low and middle income Australians.
He said the data was a positive start for the co-contribution regime, which was aimed at maximising the retirement savings of Australians at the same time as engaging them on the importance of superannuation.
In total, the Government has paid out $309 million so far as part of the co-contribution scheme to around 571,000 individuals.
From this financial year, the co-contribution scheme has been extended so that the Government will pay $1.50 for every $1 in personal contributions made by eligible individuals up to a maximum co-contribution of $1,500.
Previously, the Government matched dollar for dollar personal superannuation contributions up to a maximum of $1,000.
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.
