Actuarial firm Rice Warner is the latest industry player to urge the federal government against any change to the proposed increase in the superannuation guarantee (compulsory superannuation) from 9.5% to 12%. In a paper to be presented to the Actuaries Institute’s annual summit, Rice Warner CEO Michael Rice and head of superannuation Nathan Bonarius argue that the aged pension will become the main source of income for most people in retirement if the superannuation guarantee increase does not eventuate. From The Australian:
“If the SG was left at the current 9.5 per cent the age pension, rather than the SG, would be the primary source of income for most Australians,” the Rice Warner paper said. “An SG below 10 per cent would not be an optimal solution.”
