Sustainability and eliminating disincentives to save are the keys to a better retirement, according to the Alliance for a Fairer Retirement System. It has just released its submission to the Retirement Income Review.
Alliance spokesperson, Ian Henschke says: “The Alliance supports the four principles proposed by the Panel: adequacy; equity; sustainability; and cohesion. But certainty is also a critical factor and must be included in any review.”
“The cohort outside the current system includes the self-employed, those in the gig economy and older, retired Australians — none of these has the benefit of compulsory superannuation. Small business owners frequently rely on selling a business to fund retirement, yet not all business owners can sell their business. Those in the gig economy frequently suffer from fragmented employment, making savings a challenge. Non-compulsory saving can also prove difficult for many. It’s vital, therefore, that policy settings take account of the impact on all retirees and not only those who have benefited from superannuation.”