Australians will have the option to split superannuation contributions with their spouse from 1 July 2006.
The measure honours the Government's 2004 election commitment outlined in Super for All and Understanding Money, and builds on a range of successful Coalition initiatives to boost retirement savings and provide greater flexibility and choice.
Superannuation splitting will allow low income or non-working spouses to accumulate their own superannuation, and gives families more choices in how they prepare for their retirement.
Splitting will be an additional service superannuation funds can choose to offer eligible members. It will allow funds to offer more flexible products to meet the changing needs of Australians, particularly in a more competitive superannuation choice environment.
The start date of 1 July 2006 will assist in a smooth transition to choice of fund. It will also allow time for the Government to settle the implementation details in consultation with stakeholders.