The superannuation squeeze

Here's what might happen and what you can do about it.

Summary: People with $2 million in superannuation are suddenly declared rich, but if their return is only three per cent, their annual income is just $60,000. I fear the introduction of a 15 per cent tax rate on all income earned by super funds in pension mode. Other ideas are being canvassed publicly, many of which I regard as horrific, such as a flat tax on all earnings by people aged over 65.

Key take-out: The pressure from younger people to make changes to the super system is considerable. It’s very foolish for the superannuation movement to make super irrelevant to them.

{{content.question}}

{{ twilioFailed ? 'SMS Code Failed to Send…' : 'SMS Code Sent…' }}

Hi {{ user.FirstName }}

Looks like you've already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to activate your membership

We cannot send you a code via SMS to {{user.DayPhone}}

If you didn't receive SMS code please

SMS code cannot be sent due to: {{ twilioStatus }}

Please select one of the options below:

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device


Verify your mobile number to unlock a FREE trial

Please sign up for full access

Updating information

Please wait ...

  • Mastercard
  • Visa
Mastercard

The email address you entered is registered with InvestSMART.

Please login or select "Don't know password"

Please untick this box when using a public or shared device


Register as a new member

(using a different email)

Related Articles