It has now been 54 days since the Budget and Kim Beazley still refuses to back the Government’s superannuation reforms.
Under the Coalition’s Plan to Simplify and Streamline Superannuation, a person on $1,000 per week (about average full time earnings) is projected to have accumulated superannuation benefits of approximately $466,000 through the Superannuation Guarantee arrangements alone.
From 1 July 2007, tax of around $37,000 payable when the benefit is paid would be abolished.
This average worker would gain around $37,000 in retirement, an increase of about 9% if they take a lump sum.
If the person chose to take their benefits as a superannuation pension they are estimated to have an average of around $136 per week in additional retirement income.
Why won’t Kim Beazley back this super tax cut?