Payday super to help 1 million women get the retirement contributions that they are owed
Published: 29 Mar 2023
About 1 million Australian women have been deprived of more than $1.3 billion in super contributions they are owed in a year, new analysis shows.
In feminised industries like childcare, aged care, hospitality and personal services about a quarter of female workers suffer super underpayments, costing them up to $40,000 from their retirement nest egg. For some women, this is the equivalent of almost 10% of their savings.
ISA's new report entitled "Super Solution: How Payday Super will benefit women in retirement" found that a 90s era law that allows super to be paid quarterly is contributing to the unpaid super scourge.
As payday super is cost neutral to the federal budget, it can be quickly enacted to allow thousands more women to get the vital early super contributions needed to help build a financially secure retirement.