On 5 April 2013 the Government announced a number of future reforms to Australia’s superannuation system. These announcements may assist in reducing the significant level of concern around potential changes in the upcoming Federal Budget on Tuesday 14 May 2013, although the Government noted that these changes are not about the positioning of the upcoming Budget, but are focused on the fairness, sustainability and efficiency of the superannuation system.
Importantly, these changes are not yet law, and the Government has indicated it is unlikely they will be introduced into Parliament before the Federal election in September 2013. As such, they will form part of the Government’s election policy platform. If the Government is not re-elected, then these changes may not occur.
Given this uncertainty, and the fact that any final version of these reforms may differ to the current announcements, extreme caution should be exercised before taking particular action today to overcome any concerns raised by these announcements.
However, we are monitoring these issues closely, and should any legislation be forthcoming before the election we will keep you fully informed.