Consumer groups are calling for the income threshold that determines when a worker qualifies for mandatory superannuation payments to be increased or indexed. The $450 a month threshold has not changed since compulsory super was introduced nearly 30 years ago. As usual, the superannuation industry is pushing back as it stands to lose at least $50 million a year in fees. Erin Turner from Choice says the current super system is not working for those who need it the most, including women who take career breaks and those on low incomes. From The Australian:
The Productivity Commission found more than half a million more employees are seeing 9.5 per cent of their wages locked away until retirement than would be if the threshold had been indexed to inflation, which would leave the threshold at more than $1000…
