The Federal Government has introduced a Bill into Parliament to increase the Superannuation Guarantee (SG) rate.
If passed, the Superannuation Guarantee (Administration) Amendment Bill 2011 will increase the SG rate from 9% to 12%. In his speech to introduce the Bill, Minister for Financial Services and Superannuation, Bill Shorten, called the reform “an historic boost to superannuation”.
“Today, the Gillard Labor Government has taken another important step towards increasing the adequacy and fairness of retirement incomes for Australian workers,” Minister Shorten said.
“Australians should not have to work hard and retire poor. Nine per cent super is simply not enough.”
Minister Shorten also announced that there would be no age limit imposed on SG contributions, following what he called “strong representations” from cross-bench members.
“Together with the low income superannuation contribution and Stronger Super package of reforms previously announced, the increase in the superannuation guarantee will improve the adequacy of retirement incomes and deliver a comfortable and secure retirement for current and future generations of Australian workers,” he said.
