Published: 29 Apr 2021
Millions of low and middle-income Australian families will not have enough to retire on if the government cuts the super rate, new Industry Super Australia analysis reveals.
The super guarantee has been legislated to rise from 9.5% to 12% by 2025 – with the first 0.5% increase in July, yet the government has indicated it is considering ditching its election promise to lift the rate.
New analysis, which adopts a more sophisticated microsimulation approach to modelling adequacy than used by the Retirement Income Review, shows if the super rate is frozen at 9.5% about half of all middle-income Australian families will not reach the benchmark of a retirement income that is 65% of what they earnt while working.
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