The Government has announced the temporary 50% reduction in superannuation minimum drawdown rates will be extended until 30 June, 2023, a move which has been welcomed by the industry.
The measure was first introduced in 2020 as a response to COVID-19 and was in place for the 2019/20 and 2020/21 financial years.
Around 1.8 million people were expected to be affected by the move.
The Government also pledged to not increase taxes in superannuation in the next Parliament.
Acting chief executive of the Financial Services Council, Blake Briggs, said: “Given recent volatility in financial markets the Government’s commitment to extend the reduction in the minimum drawdown rate is positive as it will protect retirees from crystalising transitory reductions in their superannuation.”
“All Australians are entitled to certainty that the tax and contribution rules in superannuation will not be subject to constant tinkering. Stability in superannuation taxes is key to maintaining public confidence in Australia’s retirement system.”
Michael Lovett, who left the investment firm just three months after launching its Vanguard Super offering, has taken up a chief executive role at an Australian asset manager.
The Central Bank of Ireland has granted the approval of Equity Trustees’ exit from its Irish operations, with the transaction expected to be complete on 30 April.
Super returns continued to climb in March, raising hopes of delivering double-digit returns by June depending on the performance of this next quarter.
The dedicated super fund for emergency services and Victorian government employees is under fire for unpaid entitlements to transport employees, which could exceed $40 million.
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