“Across all income levels an SG rate of 12% will increase the proportions who at least achieve the replacement rate benchmark of 65% to 75%. Those in the third, fourth and sixth income deciles are among those who will benefit the most. In addition, increasing the SG to 10% in 2021 will benefit many low-paid and disadvantaged groups,” it said.
“Over six million workers will see their contributions increase. Around 63% of those who will benefit from the increase are on wages below $70,000. Occupations that will benefit include labourers, sales workers and drivers.
“More workers aged 20 to 29 years will benefit from the SG increase than in any other age group. This will assist younger workers who have exhausted or drastically reduced their super savings by using the Government’s COVID-19 early release of super scheme to rebuild their balances.”
Date Time
New super laws appear to be moving in right direction for membersia Article
Industry Super Australia welcomes the federal government’s moves to strengthen new performance test laws and to ensure super funds are not penalised for investing in vital local infrastructure projects.
Spurred on by near universal feedback from the industry, the government is now ensuring the Your Future Your Super performance test better focuses on member outcomes and appears to now include administration fees.
The government has also seemingly taken a positive step to benchmark the performance of unlisted assets to more appropriate indices.
Both changes in the proposed regulations released today need to be examined in further detail, but ISA is willing to work with the government on further changes to get the best outcome for members.
Super lobby ups ante against âregulatory kill-switchâ
Save
Share
The governmentâs backflip on the superannuation performance test got a tick of approval by the sector, but lobby groups are pushing for a controversial measure that allows for ministerial influence over investment decisions to be axed.
The government revealed on Wednesday an updated approach it would use to benchmark the performance of superannuation funds, acknowledging that a prior method could have discouraged funds from investing in unlisted infrastructure and property.
The Australian Financial Review on Monday, the government has also done an about-face on the inclusion of administration fees as well as investment fees in the performance test, having conceded that dodgy trustees could game the system.
IFM reveals gender split, Industry Super payouts 27 April 2021
The investment manager has again cried foul at a parliamentary inquiry, but not without exposing how much it has paid out to its owners, as well as the skewed gender balance at the top levels that it is working to fix.
In recently published responses to questions on notice from the House of Representatives standing committee on economics, IFM Investors said it had distributed dividends totalling $52.3 million to parent company Industry Super Holdings during the last five years.
The holding company is in turn owned by 27 industry super funds, including AustralianSuper, HESTA, Cbus and UniSuper.
Thus, Outsider was amused to see Bragg working alongside former Transport Workers Union national secretary and now NSW Labor Senator, Tony Sheldon during the recent hearings of the Senate Economics Legislation Committee and the questioning of the FSC’s deputy chief executive, Blake Briggs.
With Bragg sitting in as acting chair of the committee, Sheldon did not miss his opportunity to nail his colours to the mast in the following exchange:
Senator Sheldon: I’ll make it a good one. This is for Senator Bragg, but my introduction will be that I was a member of TWUSuper. I’m still in TWUSuper, of which Senator Bragg is well aware.