Labor could support the Coalition’s proposal for your nest egg

Hopes that the Coalition’s proposal to introduce a $500,000 lifetime cap on your after-tax superannuation contributions would go away might be fading after the financial services spokesman for Labor indicated the party would consider supporting the plan.

It just has a simple request… That an independent review be undertaken to ensure the measure is not back-date to 2007, as many have been led to believe.

Jim Chalmers, Labor’s financial services spokesman, says if the changes proposed by the Coalition are examined individually and are found to be fair then Labor would consider supporting the policy.

“If there’s a case that can be made that they’re workable and fair then we will support them,” Chalmers told the ABC.

He says it is the proposed $500,000 cap on non-concessional contributions back-dated to 2007 that is causing the most concern.

“It’s pretty hard to cop a view that says something that is back-dated and calculated to 2007 but not announced until 2016 is anything other than retrospective,” Chalmers says.

Many believe that voters were so disgruntled by the Coalition’s proposal on superannuation it was a main reason for the backlash the Liberal Party suffered at the election.

Further reports in The Australian suggest ministers Julie Bishop, Christopher Pyne and Peter Dutton warned the prime minister and treasurer about the negative impact such a policy could have.

Chalmers says your retirement income is not something to be messed with “on a whim” and has called on the Government to “take the time to get it right” by having an independent inquiry to determine whether they are retrospective, fair and workable.

What do you think of an independent review to assess the viability of the Government’s proposed super changes? Do you feel you will be negatively impacted if the proposal is passed in parliament?