New proposal in motion to access super funds early

Accessing your superannuation early is no easy feat but a new proposal could see victims of domestic violence able to withdraw those funds under compassionate grounds.

While there are currently certain circumstances in which you can get to it early, i.e., compassionate grounds for early release including mortgage payments, medical treatment, palliative care and a dependent’s funeral costs — Industry Super Australia is calling for another reason to be included. 

The industry body is supporting a call to include family violence as a condition for early access to super.

The proposal comes from the health employee super fund HESTA which recommends that family violence and financial abuse be added to Superannuation Industry Supervision Regulations (1994).

Their reasoning behind it is that it would then allow those super savings to be used by a victim or victims of domestic violence to pay for goods or services to help support that person(s); hopefully allowing them to escape a violent and/or abusive situation.

“Governments must properly resource support for women escaping family violence,” Industry Super public affairs director Matt Linden said.

“When state-funded support fails, allowing access to super in special circumstances could mean the difference between someone seeking vital help or not.”

Domestic and family violence support groups are expected to be consulted on the proposal in a bid to gain a comprehensive outcome.

One in four Australian women have experienced domestic violence and this could give them more options if approved.

Do you think victims of domestic abuse should be allowed to access their super funds early?