Superannuation

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Paul Keating’s superannuation lies swell

Paul Keating continues to scaremonger against freezing the superannuation guarantee (SG) at 9.5%, claiming it would leave Australians destitute in retirement: “You cannot have a decent income in retirement without self provision. Otherwise, you would have people on the pension which is now what $23,000 or $540 a week?,’’ he said… Mr Keating said if

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Aussie early superannuation withdrawals approach $30 billion

APRA has released its weekly update on the Morrison Government’s early superannuation release program, which reveals that another $1.4 billion was withdrawn in the week ended 26 July: Over the course of the scheme, more than 3.8 million applicants have withdrawn $29.4 billion from their retirement nest eggs, averaging $7,705 per withdrawal. As shown in

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Mortgage offset accounts flooded with early super money

As we know, early withdrawals from superannuation ballooned to $28.0 billion in the week ended 19 July: The Australian Treasury now expects about $41.9 billion in total to be withdrawn from super funds, compared with its previous forecast of $29.5 billion. Analysis of banking data shows that most of this money is being saved, used to

8

It’s official: 12% superannuation will smash wages

The Australian Treasury’s 650-page retirement incomes review has been released to the Morrison Government (but not publicly), which reportedly warns that lifting the compulsory superannuation guarantee (SG) from 9.5% to 12% would crush wage growth: Australian workers face years of lower wages if the legislated increase to superannuation in the post COVID-economy proceeds, according to

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Australia’s early superannuation withdrawals balloon to $28 billion

APRA has released its weekly update on the Morrison Government’s early superannuation release program, which reveals that another $2.7 billion was withdrawn in the week ended 19 July: Over the course of the scheme, more than 3.6 million applicants have withdrawn $28.0 billion from their retirement nest eggs, averaging $7,719 per withdrawal. As shown in

1

Industry funds drown in sea of superannuation lies

Australia’s industry superannuation funds continue to scaremonger against freezing the compulsory superannuation guarantee (SG) at the current 9.5%, warning that it will rob workers, leave taxpayers worse off, and increase inequality: Industry funds are calling on the government to release a retirement income report which could potentially change the amount of superannuation paid by employers

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Funds bawl as Coalition extends early superannuation release

The Morrison Government yesterday announced that it would extend the deadline for financially stressed households to withdraw $10,000 from their superannuation savings by three months to 31 December 2020: Eligible citizens will now have until December 31, 2020, to make an application to withdraw up to $10,000 from their superannuation balance. The announcement was part

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Why lifting compulsory superannuation will cripple the economy

Researchers from Victoria University argue that Australia shouldn’t lift the superannuation guarantee (SG) from 9.5% to to 12% because it would: 1) reduce take-home pay and further push-up household debt, because it diverts households from directly equity-financing home ownership; and 2) it would hamper macroeconomic recovery by damping spending and raising short-run labour costs: In

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Aussies raid industry superannuation funds

APRA has released its weekly update on the Morrison Government’s early superannuation release program, which reveals that a whopping $6.1 billion was withdrawn in the week ended 12 July: Over the course of the scheme, more than 2.5 million Australians have withdrawn $25.3 billion from their retirement nest eggs, averaging $7,718 per withdrawal. As shown

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Second EOFY run on superannuation funds

Via the ABC: Desperate times have seen many Australians raid their superannuation accounts to the tune of the maximum $20,000 early withdrawal since the coronavirus pandemic struck. Sam Espie lost his financial services job in March when the COVID-19 shutdowns hit home. The business he worked for did not qualify for JobKeeper so, naturally, he

28

Aussies rush to withdraw superannuation savings

The Australian Prudential Regulatory Authority (APRA) yesterday released data on the uptake of the Morrison Government’s emergency early superannuation withdrawal policy: As you can see, just under $1 billion was withdrawn from Australia’s superannuation system in the week ended 5 July. In total, just over 2.5 million people have withdrawn nearly $19.1 billion from their

13

Paul Keating is a superannuation liar

Paul Keating is at it again, attacking those calling for a freeze in the compulsory superannuation guarantee (SG) at the current rate of 9.5%: The argument that is now being put, erroneously, is that in a period of static real wage growth, any upward shift in the Superannuation Guarantee will cost workers immediate disposable income.

6

Retail superannuation funds face grim future

Research by KPMG suggests that nearly one quarter of retail superannuation fund members are likely to switch funds during the next year, compared with less than 10% of industry super fund members. KPMG partner Tim Thomas says lower fees of industry funds is a major contributor to the expected exodus of retail fund members. However,

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“Rotten” superannuation system needs major overhaul

Adam Creighton has penned another thought provoking article questioning Australia’s compulsory superannuation system, which he claims has turned “rotten” and needs major overhaul: I remember where I was a decade ago when I read the section of the Henry tax review that dealt with retirement income policy. It was a shock. “An increase in the

9

Early superannuation withdrawals hit $18 billion

The Australian Prudential Regulatory Authority’s (APRA) weekly update on the Morrison Government’s early superannuation release policy reveals that another $991 million was pulled from Australia’s superannuation pool, raising total withdrawals to $18.1 billion: As you can see, 2.4 million applications for early release have been paid averaging $7,698 per withdrawal. Looking at the breakdown, you

4

Superannuation vampires leech federal budget

Industry Super Australia (ISA) has spun more propaganda claiming that if the Morrison Government overturns the legislated increase in the superannuation guarantee (SG) to 12%, it will punish future taxpayers: ISA slammed backbench MPs for attempting to dump the increase of the super guarantee from 9.5 per cent to 12 per cent by 2025, with

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$17 billion ripped from Australia’s superannuation system

The Australian Prudential Regulatory Authority’s (APRA) weekly update on the Morrison Government’s early superannuation release policy reveals that another $1.2 billion was pulled from Australia’s superannuation pool, raising total withdrawals to $17.1 billion: As you can see, 2.3 million applications for early release have been paid averaging $7,492 per withdrawal. Looking at the breakdown, you

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Increasing compulsory superannuation would crush consumer spending

The Grattan Institute has attacked the legislated lift in the superannuation guarantee (SG) to 12%, claiming it would “leave an enormous hole in economic activity”: Legislated plans to increase the rate of compulsory superannuation contributions incrementally to 12 per cent of wages between 2021 and July 2025 would also exacerbate the economic problems caused by

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12% superannuation would crush working Australia

Former Labor Prime Minister, Kevin Rudd, claims “Scott Morrison’s crusade on super is the biggest attack on working Australians since WorkChoices”: Scott Morrison’s crusade against compulsory superannuation marks the greatest assault on the living standards of working Australians since John Howard’s WorkChoices industrial laws took the meat axe to wages and conditions… If Morrison succeeds,

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$16 billion stripped from Australia’s superannuation system

The Australian Prudential Regulatory Authority (APRA) has released its weekly update on the Morrison Government’s early superannuation release policy, which reveals that another $1.1 billion was withdrawn from Australia’s superannuation pool, taking total withdrawals to $15.9 billion: As you can see, 2.1 million applications for early release have been paid averaging $7,637 per withdrawal. Looking

10

Superannuation funds demand housing subsidies

Industry superannuation funds have demanded that state and federal governments provide cheap land and tax subsidies to encourage funds to invest in affordable housing: Superannuation firms and community housing groups have been in discussions for 12 months about lobbying the federal government together for subsidies that would make low-cost housing feasible as a long-term investment… [This

2

Industry fund’s superannuation lies exposed

As we know, industry superannuation funds have regularly attacked research suggesting that increasing the superannuation guarantee (SG) would cost wage rises and has incessantly lobbied to raise the SG to 12%. Earlier this week, it was revealed that a “not for citation” paper prepared by Industry Super Australia (ISA), which analysed two decades’ worth of enterprise

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Retirees demand young Australians shoulder COVID-19 hit

We are beginning to see incessant lobbying from retiree groups demanding greater taxpayer support in the wake of COVID-19. Over the weekend, Fairfax published this special pleading from the Alliance for a Fairer Retirement System: Older Australians say the retirement system is in crisis and leaving them financially vulnerable, forcing them to call on the

2

ISA admits 12% superannuation will cost jobs and wages

Lobby group Industry Super Australia (ISA) has regularly attacked research suggesting that increasing the superannuation guarantee (SG) could cost wage rises and has frequently lobbied to raise the SG to 12%. However, a paper prepared by ISA for a presentation to the Centre of Excellence in Population Ageing Research in December indicates that higher super

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Industry funds hit with $7.7b of early superannuation withdrawals

The Australian Prudential Regulatory Authority (APRA) has released its weekly update on the Morrison Government’s early superannuation release policy, which reveals that another $1.2 billion was withdrawn from Australia’s superannuation pool, taking total withdrawals to $14.8 billion: As shown above, nearly 2 million applications for early release have been paid averaging $7,475 per withdrawal. Looking

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Busting the superannuation ‘retirement trap’ myth

Jeremy Cooper, retirement income chairman at Challenger, has comprehensively debunked the myth of the ‘retirement trap’ – the notion that the benefit of having extra superannuation savings is more than offset by reduced access to the Aged Pension: Age pension payments reduce at a rate of $3 per fortnight for each $1000 in assets over

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Industry funds smashed with $7.1b early superannuation withdrawals

The Australian Prudential Regulatory Authority (APRA) has released its weekly update on the Morrison Government’s early superannuation release policy, which reveals that a further $1.3 billion was withdrawn from Australia’s superannuation pool, taking total withdrawals to $13.5 billion: As you can see, 1.8 million applications for early release have been paid averaging $7,448 per withdrawal.

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Labor wowsers lecture households on stimulus spending

Labor is a genuine dill. Via Domain: The Australian Prudential Regulation Authority on Monday said 1.8 million people had so far used the scheme, withdrawing more than $12 billion. Less than one per cent of applications have been rejected. Analysis by credit bureau illion and consultancy AlphaBeta, part of Accenture, shows those using their super

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Industry funds bleed as early super withdrawals top $12b

APRA has released its weekly update on the federal government’s early superannuation release policy, which reveals that another $1,590 million funds were withdrawn in the week ending 24 May, with total withdrawals topping $12.2 billion: As illustrated above, just over 1.6 million applications have been paid averaging $7,252. Breaking down withdrawals at the individual fund

15

Blind Labor robs workers with 12% superannuation

Despite Australian workers facing massive income declines, Labor continues to lobby hard for the superannuation guarantee (SG) to be lifted to 12%: Senior Labor figures said compulsory super, which originated under the Hawke government’s accord process in the 1980s, should be protected as the Morrison government forged a new compact with unions and business to