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.
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