ASFA calls on community for consensus on super retirement

The Association of Superannuation Funds of Australia (ASFA) is calling on the public to participate in a conversation on the future of the nation's superannuation system in order to reach a consensus on retirement incomes policy.

With about 5.3 million Australians moving into retirement over the next 15 years, many industry commentators have said the system has been built for accumulation phase and needed further attention with regards to retirement.

ASFA said it was pleased the Federal Budget contained no new surprises for super, but also that now was the time to plan the future of the system. It was important that system was sustainable and provided comfort in retirement for all Australians.

ASFA chief executive Pauline Vamos said a successful retirement policy required a long lead-time to allow people to plan.

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"There's no doubt that Australia is recognised as having one of the best superannuation systems in the world. However, our ageing population poses new challenges which will require policy makers to make adjustments to accommodate these into the future," she said.

"This is why we need to start thinking now about how we can ensure the system evolves as the environment it operates in changes."

Issues that still needed to be resolved included: unsustainable tax and policy settings; the inequitable outcomes and inadequacies of a complex system; changing work patterns requiring amendments to contribution and benefit arrangements; promotion of retirement income streams; removing tax and legal impediments which prevent the development of retirement product solutions that address longevity risk; and the cost of transition to retirement.

Vamos said it was not purely an industry conversation but required community involvement.

"This is why we are calling for feedback and input from across the community, so that their views can be collected outside of political hype," she said.

"Let's de-politicise super and move towards a bipartisan approach to policy which helps people achieve the lifestyle they deserve in retirement."