Letters of 30 June 2021: Virus the enemy, not lockdown afr.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from afr.com Daily Mail and Mail on Sunday newspapers.
AIST chief executive, Eva Scheerlinck, said: “As younger generations retire with greater superannuation savings, the total proportion of older Australians receiving the Age Pension will continue to decline. It is a very significant to see that the number retirees drawing a full-age pension is expected to halve by 2060”.
Similarly, the Association of Superannuation Funds of Australia (ASFA) chief executive, Dr Martin Fahy, said: With more Australian retirees having higher super balances, the proportion of retirees reliant on the Age Pension will decline and ASFA expects half of all Australians to be self-funded in their retirement by 2050. Our strong superannuation system will allow Australia to lower the burden of the Age Pension from the current 2.7% of GDP to 2.1% in 2060-61 making it the lowest among our OECD peers.”
AIST
The Australian Institute of Superannuation Trustees (AIST) has today welcomed the release of the 2021 intergenerational report, which highlights the critical and pivotal role of compulsory superannuation in ensuring Australia is well placed to support its rapidly ageing population.
AIST CEO Eva Scheerlinck said the report was a ringing endorsement of our maturing super system and the legislated timetable to increase the compulsory super rate to 12% by 1 July, 2025.
“Treasury projections suggest that with 12 per cent super by 2025, the median superannuation balance at retirement will increase from around $125,000 in 2020-21 to around $460,000 in 2060-61 in today’s dollars. A super balance of this size will have huge impact on the future retirement outcomes of ordinary Australians who will benefit from greater financial security in retirement than the average retiree experiences today,” Ms Scheerlinck said.
Meet the BOSS Young Executives for 2021 afr.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from afr.com Daily Mail and Mail on Sunday newspapers.
“A breach or likely breach of a core obligation captures a wide range of scenarios and includes any contravention of a civil penalty provision.
“Considering the scope of civil penalty provisions and what may amount to trivial breaches, AIST considers that high-level guidance does not provide sufficient objectivity to assist AFS licensees determine if a breach or likely breach of a core obligation is a reportable situation. AIST supports measures that enhance breach reporting but notes that there is scope in Draft RG 78 for additional and targeted guidance on what constitutes ‘core obligation’.”
AIST said there needed to be guidance on how to determine whether a breach or likely breach of a core obligation was “significant”.