When it comes to your retirement savings, the PM is listening 4



View Profile

Prime Minister Malcolm Turnbull has softened his approach on the proposed changes to superannuation, insisting he has heard your concerns and is listening.

He agrees it’s a complicated area, and while he once said there would be no changes to the suite of proposals on high-end super savings, he now says his government would not be making “policy on the run”.

“I am listening very keenly and carefully to concerns that are being raised by my colleagues and by other people in the community as well,” Turnbull says.

“The reforms are important, but in the implementation and transition, there is work to be done. There always is with tax changes. They will go through the normal cabinet and party room process.”

The Government’s superannuation proposals have been under scrutiny since the Budget was handed down in May, and following the Liberal Party’s underwhelming performance at the July 2 election there has been much concern from within the Coalition that a $500,000 cap on non-concessional contributions dating back to 2007 is a “breach of trust”.

“Trust is something that politicians have very little of and we have burnt a lot of it in this campaign,” senator David Johnston told Sky News.

However, the PM has continued to deny that the changes are retrospective, and defends the measure as something that is fair and laid out in the budget for all to see.

The Government’s other proposal — to drop the annual limit of contributions taxed at the concessional rate of 15 per cent from $35,000 to $25,000 for those aged over 50 years — is also drawing criticism.

What do you think of the Government’s proposal to amend super entitlements? Do you have concerns about your retirement nest egg?

Starts at 60 Writers

The Starts at 60 writers team seek out interesting topics and write them especially for you.

  1. ” Liberal Party’s underwhelming performance at the July 2 election” excuse me did I miss something. All I see is a community divided and really not in favor of either Federal side. They may have got the numbers, just, but what a hard slug it was in matters of time and Senate members. Turnbull will have every movement, every word and every step he takes with coming under extra scrutiny in the many, many weeks to come. He really does not have the ‘over whelming’ mandate to be cocky like his Government believe they have. Time to treat wearily.

  2. Absolutely have to go back to allowing people the chance to contribute higher amounts than $25000 after 50. That’s usually the time you have the best chance of building on your super. Surely it makes sense if people are trying to look after themselves instead of relying on a pension.

  3. Just when you want to improve your position the government change the rules. Tax the high earners and those that can afford to live in style. But for those of us that have had to work hard for what we have earned, and not been blessed to be born into wealthy families and have a job that doesn’t pay millions, cut us some slack to maximise our nest eggs and be less of a burden after we retire. We have paid taxes all our working lives and deserve some support to structure our retirement wealth without you lot grabbing a slice on the way through. BUGGER off Turnbull!

  4. Backdating changes to superannuation is not reasonable, changes should be posted into the future to allow people to gear themselves to the changes. The $500000 limit is fine if you are aware of it before it is in place as is the $1.6m tax free amount as long as you know and are not penalised retrospectively.
    It’s a bit like changing the speed limit, then booking everyone who adhered to the old limit, crazy.

Leave a Reply

Your email address will not be published. Required fields are marked *