Chronology of superannuation and retirement income in Australia


Updated 1 June 2010

Leslie Nielson and Barbara Harris
Economics Section

Introduction

Retirement income and superannuation have been significant themes for the Commonwealth Government since Federation. In common with other countries Australia s retirement income system has three component parts or pillars as they are known. The social security Age Pension is its foundation. The compulsory superannuation contributions under the Superannuation Guarantee regime is its second pillar. The third pillar is additional savings, often made through additional superannuation contributions. The following chronology notes some of the significant dates in the development of the current retirement income system.

Year/Date

Measure

Comment or Reference

1900

New South Wales introduced a means tested age pension of 26 a year, funded out of general revenue.

Victoria and Queensland followed suit.

 

1901

The Constitution gave the Commonwealth explicit power to legislate for provision of old age and invalid pensions.

S. 51(xxiii) Commonwealth of Australia Constitution Act 1901

10 June 1908

Invalid and Old Age Pensions Act 1908 passed by the Deakin Government. Rate 26 per year (10/- a week). Eligibility limited according to character, race, age, residency and means. Paid to eligible men and women at 65. Commenced 15 April 1909.

 

1910

Pension age for eligible women reduced to 60.

 

1912

1908 Act amended to completely remove the family home from the means test.

 

1915

Income Tax Assessment Act 1915 provided for tax deductibility of employer contributions made on behalf of employees, and for the exemption of superannuation fund earnings from taxation.

 

1923

Bruce Government established a Royal Commission to examine the possibility of having a comprehensive national insurance scheme for retirement, sickness or disability.

Royal Commission on National Insurance (7 Sept 1923-5 Oct 1927).

1928

National Insurance Bill introduced. It lapsed in 1929 when the Government was defeated.

 

1938

National Health and Pensions Bill passed, but its introduction was delayed, then abandoned because of World War 2.

 

1945

Chifley Government introduced an additional levy on personal income tax which, along with a payroll tax from employers, was credited to the National Welfare Fund. There was, however, no direct link between contributions and benefits and the pension. The National Welfare Fund, whilst set up as a means of establishing a base from which a national superannuation fund could be operated, was in practice merely an accounting device until its abolition in 1985.

 

1961

Superannuation funds exempt from tax if they held required amounts of Commonwealth Bonds. Commonwealth control of superannuation funds by use of taxation power firmly established.

Income Tax and Social Services Contribution Assessment Act 1961

1965

High Court upholds Commonwealth s ability to control superannuation fund investment by use of taxation power.

Fairfax v Commissioner of Taxation 114 CLR 1

By late 1960s

Means assessed on basis of income plus a proportion of countable assets except for the family home (which has always been assets-test-exempt.) About 70% of people qualifying on grounds of age received the pension.

 

1972

Only 32% of workers covered by superannuation.

 

1973

Whitlam Labor Government established the National Superannuation Committee of Inquiry. Chairman Keith Hancock.

 

1973

Means test for pensioners 75 years of age and over abolished.

 

1974

Australian Bureau of Statistics conducted the first national survey of superannuation coverage. 32% of the workforce was covered by superannuation 36% male; 15% females.

24% of people in the private sector had super cover compared with 58% in the public sector.

Year Book Australia 1974

1975

Means test removed for persons aged 70 to 74 inclusive.

Social Services Act 1975, no. 34

1975

Pensions linked to 25% of average weekly earnings, to be indexed annually.

Social Services Act (no 3) 1975, no. 110

1976

Pensions became subject to automatic increases twice yearly.

Age pension assets test abolished.

Social Services Amendment Act (No 3) 1976,no. 111

1976

The Hancock Inquiry recommended a partially contributory, universal pension system with an earnings-related supplement. A minority recommendation suggested a non-contributory flat rate universal pension, a means tested supplement, and encouragement of voluntary savings through expanding occupational superannuation.

National Superannuation Committee of Inquiry. Final Report. Parts 1 (1976) and 2 (1977)

20 June 1977 Fraser government decides not to establish a contributory national superannuation scheme. Cabinet Decision 3435 of
20 July 1977 in response to Cabinet Submission No. 1394 of 1977

1978

Pension increases to be adjusted only once a year (in November). Future increases in the Age Pension for those aged 70 or over made subject to an income test.

Social Services Amendment Act 1978, no. 128

1979

Fraser Government rejected the recommendations of the Hancock Inquiry.

Pension increases subject to twice yearly increases, in May and November.

Social Services Amendment Act 1979, no. 121

May 1983

Base pension for those aged 70 and over subject to an incomes test.

Social Security and Repatriation Legislation Amendment Act 1983, no. 36

1983

The Statement of Accord (Prices and Incomes Accord) between the ALP and the ACTU was endorsed in February, shortly before the federal election. Claims for wage increases were to be restricted to movements in the CPI.

 

1983

Hawke Labor Government expressed support for the principles of employee superannuation.

The May Economic Statement began the process of reform of the taxation of superannuation. For lump sums at age 55 or later, the first $50,000 would be taxed at 15%; the remainder at 30%. Lump sums taken below age 55 would be taxed at 30%. These thresholds indexed to AWOTE.

Economy Ministerial statement , P. Keating, 19 May 1983..

1984

CBUSS - Superannuation for the building industry created, from an idea shared by building union leaders and ACTU officials. Regarded as a world first. (funds owned and controlled by a board comprising equal numbers of employer and employee or union representatives.) A number of other similar funds established in the following years- These funds are called Industry Funds.

ACTU website

1984

Age pension assets test reintroduced. Family home excluded.

Social Security and Repatriation (Budget Measures and Assets Test) Act 1984, no. 93

1985

Renegotiation of the Accord identified superannuation as a key issue.

 

1986

Labor joined with the ACTU in seeking a universal 3% superannuation contribution by employers to be paid into an industry fund, in lieu of a wage rise.

National Wage Case June 1986

1986

Accord Mk II between the Government and the unions stipulated that compensation to employees should be 6% (to keep pace with inflation). This was to be 3% employer superannuation contribution, a 2% wage rise, and tax cuts.

Agreement endorsed by the Conciliation and Arbitration Commission February 1986.

 

1986

Employer groups, including the Confederation of Australian Industry, challenged the Commission s decision in the High Court, claiming that superannuation was not an industrial matter within s.51 (xxxv) of the Constitution.

 

15 May 1986

High Court ruled in favour of the Conciliation and Arbitration Commission.

160CLR 341 (15 May 1986)

June 1986

National Wage Case established guidelines to require new industry superannuation schemes to conform to Commonwealth operational standards.

National Wage Case 1986 Reason for Decision

1987

Insurance and Superannuation Commission (ISC) was established as an industry regulator.

 

1987

Superannuation funds total assets $41.1bn.[1]

ISC Annual Report 1988 89

21 December 1987

The Government introduced the Occupational Superannuation Standards Act 1987 (OSSA).

Operating standards were prescribed for the vesting of benefits from employer and employee contribution; preservation of benefits until age 55; more member involvement in the control of superannuation funds; security of members benefits.[2]

Occupational Superannuation Standards Act 1987

May 1988

Hawke Government statement Reform of the Taxation of Superannuation contained measures to bring forward payment of superannuation taxation liabilities by introducing a tax on contributions and reducing tax on benefits. Reasonable Benefits Limits introduced.

The Reform of the Taxation of Superannuation, Office of the Treasurer, 1988

June 1988

51.3% employed persons covered by Superannuation

Australian Social Trends 1995 ABS Cat 4102.8

1989

The Government's 1989 retirement income policy statement established a policy in Australia based on the "twin pillars" of the age pension and private superannuation, specifically rejecting the option of a National Superannuation Scheme.

Better Incomes: Retirement Income Policy into the Next Century (Howe,1989)

December 1989

Superannuation funds total assets $119bn

ISC Annual Report 1989 90

December 1990

Superannuation fund assets $123bn, 64% of all employees had superannuation coverage.

ISC Annual Report 1990 91

1991

In the Budget, Treasurer John Kerin announced that from 1 July 1992 , under a new system to be known as the Superannuation Guarantee (SG), employers would be required to make superannuation contributions on behalf of their employees.

Budget speech, 20 August 1991

March 1992

Superannuation Assets estimated to be $148bn.

ISC Annual Report 1991 1992.

June 1992

Senate Select Committee on Superannuation presents its first report. This Senate Committee, in various forms, reviewed and issued reports on various superannuation issues up to the end of the 40th Parliament (2004). Many of these reports led to significant changes in the superannuation system.

Safeguarding Super The Regulation of Superannuation

1992

Labor Government implemented the Superannuation Guarantee (SG), which extended retirement savings to 72 % of workers.

Employers were required to make prescribed contributions on behalf of their employees to a complying superannuation fund.

Super contributions were to be progressively increased between 1992-2002, from 3% to 9%.

Superannuation Guarantee (Administration) Act 1992, no. 111

1993

Labor Government overhauls regulation of superannuation with introduction of the Superannuation Industry (Supervision) Act 1993 (SIS Act). The OSSA continues in force but many of its provisions are repealed and transferred to the SIS Act.

Superannuation Industry (Supervision) Act 1993, no.78.

1993

World Bank endorses Australia s three pillar system for the provision of retirement income as world s best practice.

Averting the Old Age Crisis: Policies to Protect the Old and Promote Growth

June 1993

Superannuation assets reaches $169bn

ISC Annual Report 1992 93.

June 1993

FitzGerald report advocates increasing household savings via superannuation, but recommends that national savings be increased by increasing public sector savings. Superannuation s role in increasing national savings no longer seen as important. This is a significant change in the policy rational for superannuation system.

Dr Vince FitzGerald - National Savings: A Report to the Treasurer

November 1993

80% of employed persons either made superannuation contributions or had them made on their behalf.

Superannuation Australia, ABS Cat 6319.0, November 1995

1994

Pension age for eligible women to be raised to 65, in a phased process.

Social Security Legislation Amendment Act (no.2) 1994, No. 109

June 1994

Superannuation assets $183bn

ISC Annual Report 1993 94

1995

In the 1995 budget speech Treasurer Ralph Willis outlined plans to pay previously announced tax cuts into employee s superannuation funds. Government to make matching contributions. The principal of matching government superannuation co-contributions established.

Budget Speech 9 May 1995 and accompanying statement Saving For Our Future

1995

Shadow Treasurer Peter Costello called for employee choice and for funds to compete for business

Address to ASFA (Australian Superannuation Funds Association), 2 Nov 1995.

March 1995

Superannuation Assets $187bn.

ISC Annual Report 1994 95

June 1995

80.5 % employed persons covered by superannuation

Australian Social Trends 1995 ABS Cat 4102.8

June 1996

Superannuation assets $245.3bn, 37.9% of GDP

APRA Insight 2007

20 August 1996

Superannuation Surcharge introduced by Treasurer Peter Costello in the Howard Government s first budget.

Budget speech 20 August 1996

1997

Wallis Financial System Inquiry, established by Treasurer Costello in May 1996, advocated superannuation choice and other changes to the superannuation system.

Wallis Financial System Inquiry

1997

Age pension to be formally maintained at 25% AWOTE.

Retirement savings accounts (RSA) established.

Superannuation surcharge implemented.



Maximum age for SG contributions increased from 65 to 70.

Social Security and Veterans Affairs Legislation Amendment (Male Total Average Weekly Earnings Benchmark) Act 1997, no.175.

Retirement Savings Accounts Act 1997, no. 61

Taxation Laws Amendment Act (No. 3)1997, No. 147

1997

Limited access to superannuation possible on compassionate grounds.

SIS Reg 19A

June 1997

Superannuation assets $321.0bn, 47.7% of GDP, 81% were covered by superannuation.

APRA Insight 2007, ABS Cat 6319.0

9 December 1997

Limited access to superannuation possible if member is in severe financial hardship. This is defined as being in receipt of commonwealth income support for a continuous period of 26 weeks or a cumulative period of 39 weeks.

SIS Reg 6.01

1998

Age pension means test for retirement income streams revised. Pension Bonus scheme introduced. A person could accrue a pension bonus payment by deferring claiming the pension while still working.

Social Security and Veterans Affairs Legislation Amendment (Pension Bonus Scheme) Act 1998, No. 67

1998

Reforms to business taxation, including proposals to reduce the CGT rate for super funds to 10%

 

1998

Australian Prudential Regulation Authority established on 1 July 1998 . APRA is the lead superannuation regulator. The Australian Securities and Investments Commission also took a significant role in the regulation of superannuation. The Australian Taxation Office continued to carry out some regulatory functions and administer the superannuation taxation legislation. The Insurance and Superannuation Commission ceases to operate on the same date. These changes were in response to the recommendations of the Wallis Inquiry.

Australian Prudential Regulation Authority Act 1998, no 50.

June 1998

Superannuation assets $360.3bn, 51.2% of GDP

APRA Insight 2007

1999

In 1999, the SIS Act was amended to establish a new category of small superannuation fund, the Self Managed Superannuation Fund to be regulated by the Australian Taxation Office.

Superannuation Legislation Amendment Act (No. 3) 1999, no. 38 (SLAA3)

June 1999

Superannuation assets $411.4bn, 55.6% of GDP

APRA Insight 2007

8 October 1999

Australian Taxation Office took administrative responsibility for Self Managed Superannuation Funds (SMSF).

 

June 2000

Superannuation assets $484.2bn, 63.0% of GDP, 87% of employed persons (both part and full time workers) covered by superannuation.

APRA Insight 2007, Superannuation Coverage and financial characteristics ABS Cat 6360.0

2001

Financial Services Reform Act is designed to be a single licensing and disclosure approach for all financial services, including superannuation. Commenced in March 2002.

Financial Services Reform Act 2001, no. 146

June 2001

Superannuation assets $519.0bn, 66.2% of GDP

APRA Insight 2007

2002

Maximum age for superannuation contributions increased from 70 to 75 (for people working at least 10 hours a week).

 

June 2002

Superannuation assets $518.1bn, 63.7% of GDP

APRA Insight 2007

1 July 2002

Temporary residents permanently departing Australia may withdraw their accumulated superannuation benefits before their preservation age. This does not apply to New Zealand residents.

SIS Regs 6.20A, 6.20B & 6.24A

28 December 2002

Superannuation assets able to be divided between the parties in a marriage breakdown

Part VIIIB Family Law Act 1975

2003

Superannuation surcharge reduced from 15% to 12.5%.

Government co-contribution for low/middle income earners introduced.

 

June 2003

Superannuation assets $546.8bn, 65.2% of GDP, 90% of employed persons have employer provided superannuation.

APRA Insight 2007, ABS Cat 6310

1 July 2003

Superannuation co-contributions policy takes effect in respect of personal (or undeducted) contributions made after this date.

Superannuation (Government co-contribution for Low Income Earners) Act 2003, no. 110

25 February 2004

On 25 February 2004, the Treasurer released A more flexible and adaptable retirement income system as part of Australia s Demographic Challenges announcement. Amongst other things this report proposed to allow access to a person s superannuation, in the form of an income stream, before they had left the work force (i.e. transition to retirement pensions) and to scrap the work test for those under age 65.

A more flexible and adaptable retirement income system

2004

Superannuation Safety Amendment Act 2004 enacted changes to regulation of superannuation. All superannuation trustees of large eligible funds have to be licensed from 1 July 2004. Trustees of SMSFs do not have to be licensed.

Superannuation Safety Amendment Act 2004, no. 53

2004

Superannuation regulations changed to allow the portability of money between different superannuation accounts.

SIS Regs 6.28 and 6.29

2004

Employee choice of fund passed Senate in June, to come into operation from 1 July 2005.

Superannuation surcharge reduced from 12.5% to 10%.

Superannuation Legislation Amendment (Choice of Superannuation Funds) Act 2004, no. 102

2004

Tax free payment of superannuation benefits can be made to the surviving partner on an interdependent relationship. An interdependent relationship can encompass same sex couples, or a relationship where one person is financial dependent on another person. For example, were a son or daughter is financially supporting a parent.

SIS Reg 10(1) and 10A

June 2004

Superannuation assets $643.0bn, 73.6% of GDP

APRA Insight 2007

1 July 2004

Work test governing contributions made under age 65 ceased to operate. Work test remains for contributions made above age 65.

 

10 May 2005

Treasurer Costello announced in the Budget the abolition of the Superannuation Surcharge. Changes take effect from 1 July 2005

Treasurer's Budget speech 2005

June 2005

Superannuation assets $762.9bn, 85.1% of GDP, 90% of employed persons have employer provided superannuation.

APRA Insight 2007, ABS Cat 6310.

1 July 2005

Transition to Retirement Pensions available. A member may commence to receive a transition to retirement pension without having to leave the workforce or retire. Choice of Superannuation Fund takes effect.

SIS Reg 6.01.

1 Jan 2006

Contributions Splitting took effect. A Member s SG and other contributions may be split with their spouse.

SIS Regs 6.40 6.46

9 May 2006

In the Budget, Treasurer Costello announced plans to simplify superannuation. Simpler Super includes:

- exemption from tax on end benefits for Australians aged 60 or over from I July 2007;

- no tax on a lump sum;

- no tax on a superannuation pension;

- reasonable benefit limits to be abolished; and

- transferring super between funds made easier. Implementation date is 1 July 2007.

Treasurer's Budget speech 2006

June 2006

Superannuation assets $912.0bn, 98.8% of GDP, 90% of all employed persons covered by superannuation.

APRA Insight 2007, ABS Cat 6310.0

June 2007

Superannuation assets $1153.3bn (i.e. 1 trillion), 119% of GDP.

APRA Quarterly Superannuation Performance June 2007, ABS Cat 5206.0.

1 July 2007

Most Simplified Superannuation amendments take effect. Bulk of operating superannuation tax law now in the Income Tax Assessment Act 1997. Prudential and operational aspects now largely in the SIS Act. Residual parts of superannuation law remain in Income Tax Assessment Act 1936.

Tax Laws Amendment (Simplified Superannuation) Act 2007, no. 112.

11 September 2007 Measure applies to lump sums paid on or after 1 July 2007

Tax free benefits able to be paid to those with a terminal illness.

Minister for Finance and Assistant Treasurer Press Release, Australians with a terminal illness now able to draw their super tax free

Schedule 2 Tax Laws Amendment (2008 Measures No. 1) Bill 2008 also s 303-10 ITAA 97.

20 September 2007

Social Security assets test threshold raised from $531,000 to $839,500 (couple); from $343,750 to $529,250 (single); it is estimated that more than 300,000 extra people will be eligible for the age pension.

 

31 December 2007

Employee s ability to recover unpaid superannuation amounts from employers that have ceased operating enhanced.

Sub paragraph 556(1)(e) Corporations Act 2001.

3 March 2008

Minister for Superannuation and Corporate Law Sherry announced the establishment of a Superannuation Advisory Group to advise on matters relevant to current or prospective

superannuation legislation and on Government policy proposals which have significant impact for the superannuation industry.

Press Release Peak superannuation advisory group established.

5 May 2008

Minister Sherry announces consultation on a measure introduced by the Coalition Government which required future superannuation contributions and existing balances for temoporary residents to be transferred to the ATO. If these were unclaimed after 5 years, the amounts would be confiscated. Extra revenue of up to $1 billion a year is predicted.

Temporary residents and superannuation Treasury

Press Release Minister Sherry

13 May 2008

Labor s first Budget contains details of a review of taxation Australia s future tax system , to be chaired by Dr Ken Henry. Terms of reference include the government s commitment to preserve tax-free superannuation payments for the over 60s.

Australia s future tax system & Terms of reference

19 May 2008

Minister Sherry announced that universal forecasting of superannuation end-benefits could be introduced to enable better understanding of retirement savings.

Speech The Government s priorities in superannuation

28 May 2008

Attorney-General Robert McClelland introduced the first of a range of amendments to remove same-sex discrimination from Acts governing Commonwealth superannuation schemes. This ensures that same-sex couples are not denied the payment of death benefits from superannuation schemes or the tax concessions on death benefits currently made available to opposite-sex couples.

Same-Sex Relationships (Equal Treatment in Commonwealth Laws Superannuation) Bill 2008

June 2008 ASIC begins to provides advice on long term superannuation returns

Press Release

ASIC Website – Long Term Performance figures for Typical Super Fund Investment Options

17 Jun 2008

The Same-Sex Relationships (Equal Treatment in Commonwealth Laws Superannuation) Bill 2008 is sent to a committee inquiry without an end date

 
25 June 2008 Legislation providing further relief for employers who make a late superannuation guarantee contribution receives Royal Assent

Press Release

Tax Laws Amendment (2008 Measures No.2) Bill 2008

26 June 2008

Minister Sherry announced a review of pension indexation arrangements for Australian Government superannuation schemes (civilian and military). The review commences in July and is expected to conclude by the end of 2008.

Press Release

December 2008 Review of Australian government pension indexation (Mathews Review) completed. Report not released to the public. Pension Indexation Review Website
18 December 2008 Act requiring temporary resident’s superannuation benefits to be paid to the ATO, if not claimed within 6 months of departing Australia, commences operation.

Press Release

Temporary Residents' Superannuation Legislation Amendment Act 2008
4 December 2008 Royal Assent to the Same-Sex Relationships (Equal Treatment in Commonwealth Laws—Superannuation) Bill 2008 (No. 107 of 2008) passes through Parliament.  
1 April 2009 Act raising tax rates of Temporary Residents superannuation benefits when paid takes effect.

Press Release

Superannuation (Departing Australia Superannuation Payments Tax) Amendment Act 2008
28 April 2009 Minister Sherry announces Review into the governance, efficiency, structure and operation of Australia’s superannuation system. Press Release
4 May 2009 Release of the Report on Strategic issues for the Retirement Income System – as part of the Australia’s future tax system inquiry (Henry Review). Amongst other things recommends that superannuation guarantee contribution rate remain at 9 per cent of ordinary time earnings and retains the $450 per month minimum wage threshold for superannuation guarantee purposes. The retirement income system: Report on strategic issues
29 May 2009 Minister Sherry announces the terms of reference and makeup of Review into the governance, efficiency, structure and operation of Australia’s superannuation system. Press Release
1 July 2009 Rate at which government superannuation co-contribution is paid reduced temporarily between 1 July 2009 and 30 June 2014. Rate returns to $1.50 for every $1 contribution (subject to income test threshold) on 1 July 2014. Schedule 2 Tax Laws Amendment (2009 Budget Measures No 1) Act 2009
1 July 2009 Limit on concessional contributions (formally known as tax deductible contributions) reduced from $50 000 p.a. to $25 000 p.a. for 2009–10 and later years. This limit is indexed to changes in AWOTE (if those changes are sufficiently large enough).  Transitional measures remain in place for those over 50 years of age to 2011–2012. Annual limits on non-concessional contributions (i.e. after tax contributions) are now 6 times the limit on concessional contributions for those under 50 years of age (i.e. 6 times $25 000 or $150 000 p.a. for the 2009–10 year). Schedule 3 Tax Laws Amendment (2009 Budget Measures No 1) Act 2009
1 July 2009 Income for government superannuation co-contribution purposes now includes a person’s reportable employer superannuation contributions. That is the amount that the employer puts into superannuation on the employee’s behalf that exceeds the superannuation guarantee requirements. Item 88, Part 3, Schedule 3 Tax Laws Amendment (2009 Measures No 1) Act 2009
1 July 2009 Expanded definition of ‘ordinary time earnings’ for superannuation guarantee purposes takes effect. ‘Ordinary time earnings now include over award payments, shift loadings, allowances and piece rates paid in relation to a person’s ordinary hours of work. It does not include overtime payments.

ATO SGR 2009/2

Later regulation specifically exempted parenting payments from definition of ‘ordinary time earnings’ for superannuation guarantee purposes.
9 July 2009 Superannuation funds now able to offer limited financial advice to their members. Press Release
21 August 2009 Release of the Mathews Report recommends that government superannuation pensions continue to be adjusted by increases in the Consumer Price Index (CPI). Government fully supports this recommendation. Mathews Report
20 September 2009

The rate of the age pension was raised by $30 per week for single people. Existing pension supplements were consolidated into one pension supplement and increased by $2.49 per week for single people and $10.14 per week for couples.

The 25% of MTAWE adequacy benchmark was adjusted to 27.7% for single people and 41.76% for couples. A new prices measure called the Pensioner and Beneficiary Living Cost Index (PBLCI) was added to the pension indexation process. Where the increase in the PBLCI is greater than that for the CPI it will be used instead of the CPI in the indexation process.

The pension income test taper rate was increased from 40% to 50%. A work bonus was introduced that exempted half of any income from employment up to $500 per fortnight from consideration under the income test.

The Pension Bonus Scheme was abolished

Social Security And Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009
14 December 2009 Release of phase one preliminary report of the Review into the governance, efficiency, structure and operation of Australia’s superannuation system (i.e. the Cooper Review) on superannuation fund governance Cooper Review phase one preliminary report
January 2010 Formal inclusion of specific superannuation funds (usually industry funds) in industrial awards. This change does not restrict an employee’s right to have contributions made to a superannuation fund of their choice Paragraph 139(1)(i) of the Fair Work Act 2009
20 April 2010 Release of Cooper Review Phase two preliminary report – ‘Mysuper, optimising Australian superannuation’. Cooper Review phase two preliminary report
29 April 2010 Release of Cooper Review Phase three preliminary report – ‘Self managed super solutions’. Cooper Review phase three preliminary report
2 May 2010 Government response to Australia’s future tax system review (i.e. the Henry Review) released. Superannuation Guarantee rate proposed to be raised to 12% between 2013–14 and 2019–20, Superannuation Guarantee age limit to be increased to 75 in from 1 July 2013, an annual superannuation contribution of up to $500 provided for those receiving and adjusted taxable income of up to $37 000 p.a. and the concessional contribution cap for those over age 50, with less than $500 000 in total superannuation benefits to be permanently raised from $25 000 to $50 000 p.a. Proposed measures repeated in budget papers released on 11 May 2010 (see below). Press Release
11 May 2010 Government proposed changes to Co-contributions scheme. Income thresholds applying for 2009–10 to continue for a further two years,  Government  co-contribution rate to be set permanently at $1 for every $1 of personal contributions made by those receiving an adjusted annual income less than $31 920 p.a.  Budget Paper No 2 2010–2011
July 2017 The qualifying age for the age pension will increase by six months every two years until it reaches 67 years of age on 1 January 2024 Social Security And Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009

Bibliography

Family and Community Services and Indigenous Affairs (FACSIA), A Compendium of legislative changes in social security 1908-1982 , Occasional Paper No 12, 1983, reprinted 2006. http://www.facsia.gov.au/research/op12/sec1.htm

Family and Community Services and Indigenous Affairs (FACSIA), A Compendium of legislative changes in social security 1983–2000 , Occasional Paper 13, June 2006. http://www.facsia.gov.au/internet/facsinternet.nsf/research/ops-ops13.htm

Australian Prudential Regulation Authority, A Recent History of superannuation in Australia, APRA Insight, Issue 2, 2007

http://www.apra.gov.au/Insight/upload/History-of-superannuation.pdf

A. Borowski, The Revolution that faltered: two decades of reform of Australia s retirement income system , International Social Security Review, v.58(no. 4), 2005, pp.45–65.

P. Gallagher, P and A. Preston, Retirement Income Modelling and Policy Development in Australia, 1993 , Treasury Retirement Income Modelling Task Force, 1993.

The Hon. J.P. Keating MP, Treasurer, Reform Of The Taxation of Superannuation, 25 May 1988

Commonwealth Government, Treasury, Towards higher retirement incomes for Australians - A History of the Australian retirement income system since Federation , Economic Roundup, 1 January 2001.



[1] ISC Annual Survey 1986 87. This figure appears to be a partial figure as it is not clear that it includes superannuation monies managed solely as insurance policies.

[2] OSSA has gone through several name changes and is now entitled ‘Superannuation (Self Managed Superannuation Funds) Taxation Act 1987’ No 97!

For copyright reasons some linked items are only available to members of Parliament.


Facebook LinkedIn Twitter Add | Email Print