Published: 12 Feb 2021
A mooted plan by government to renege on the legislated increase in the super guarantee would add a whopping $33 billion to age pension costs over coming decades, modelling by actuarial firm Rice Warner reveals.
Plans to either ditch the increase or make the legislated increases opt-in would increase taxes and leave taxpayers on the hook for tens of billions in extra welfare spending.
As more people retire without the benefit of the legislated super boost, pension costs climb up billions each year – rising to an extra $33.3 billion (in today’s dollars) over the period to 2058.
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