From www.professionalplanner.com.au: Superannuation funds should be barred from offering personalized financial advice until all account-based pension products are subject to an APRA performance test, according to a Grattan Institute report.… read more
From smallcaps.com.au: ETFs have surged in popularity in Australia, with investment reaching $200 billion by the end of 2024, marking a significant move towards passive investment over active management.… read more
From retirementessentials.com.au: Retirees can enhance their superannuation strategy by rolling back their Account-Based Pension into super and making new contributions, despite the limitations of existing ABPs such as no additional contributions and mandatory minimum withdrawals.… read more
From financialnewswire.com.au: Industry superannuation funds are advocating for the ability to provide members with on-demand retirement income estimates as part of their 2025 policy priorities.… read more
From www.smsfadviser.com: The second part of the series on insurance through Self-Managed Super Funds discusses a lesser-known strategy involving tax deductions for future liabilities to pay death and disability benefits.… read more
From www.smsfadviser.com: A lesser-known benefit of SMSFs can enable significant life insurance deductions.
The Future Service Benefit under Section 295-470 of the Income Tax Assessment Act allows eligible SMSFs to claim deductions based on the total benefit paid, potentially exceeding $500,000.… read more
Reported at www.actu.org.au: The ACTU warns that a proposed reduction of the superannuation guarantee from 12% to 9% by Coalition members could cost an average 30-year-old worker approximately $165,000 in retirement income.… read more
From www.financialstandard.com.au: Nearly one in five pension funds may face liquidity risks as they increase allocations to private assets, a survey indicates.
The study, conducted by Ortec Finance, found that 18% of pension funds do not have sufficient liquidity to manage adverse scenarios, with APRA recently criticising superannuation funds for inadequate liquidity risk management.… read more
From www.moneymag.com.au: Consolidation among Australian superannuation funds is increasing, driven by regulatory changes and market forces, which benefits members through lower fees and enhanced retirement outcomes.… read more
From www.smsfadviser.com: Australians are increasingly using SMSFs to invest in property, with asset allocation growing 26.4% to $55.2 billion from June 2021 to June 2024.… read more
From www.smsfadviser.com: Litigation involving SMSFs and member benefits upon death or incapacity is increasing, driven largely by the intergenerational wealth transfer among Baby Boomers.
The complexity of these situations is compounded by the legal status of superannuation as not being estate assets, highlighting the importance of proper trustee duties and beneficiary nominations.… read more
From financialnewswire.com.au: Australian Prudential Regulation Authority faced scrutiny from Labor Senator Tony Sheldon, who questioned whether expenditures funded by supervisory levies, such as a $70,000 Christmas party, are in the best interests of superannuation fund members.… read more
From www.smsfadviser.com: New legacy pension regulations, effective from December 7, 2024, will impact lifetime complying, life expectancy, and market-linked pensions, along with reserve accounts and flexi pensions.… read more
From www.smsfadviser.com: Tim Miller from Smarter SMSF suggests that recent changes to legacy pension regulations could prompt the ATO to review other critical issues, including residency rules and the active member test.… read more
The Super Members Council urges the Australian government to remove the 30-hour work threshold that denies teenagers access to superannuation contributions, Accountants Daily reports.
Research indicates that 90% of teenagers do not meet this requirement, resulting in significant financial losses in retirement savings, estimated at $368 million annually for approximately 505,000 teenage workers.… read more