Federal Election 2019

The broad takeaway from a Coalition win is that we should see the execution of their remaining super agenda which is largely positive for SMSFs.

Where are we now?

It seems few are more surprised than Scott Morrison that the Liberal / National Coalition will be forming Government after the 18 May election. 

Whether they need to do so with the support of some cross benchers remains to be seen, as does the make up of the Senate.

However, the ALP’s policies which have worried many superannuation savers would appear off the table for now.

When it comes to superannuation, the broad take away from a Coalition win is that we should see less tinkering and probably the execution of their remaining superannuation agenda which is largely positive for SMSFs (increasing possible member numbers from 4 to 6, modest extensions to the timeframe for making contributions from 65 to 66 etc).

While not directly impacted by the outcome of the election, it will be interesting to see what the result does for industry funds.  In Heffron's view, industry funds play a vital role in providing a streamlined, scaled, low cost superannuation option that is completely appropriate for the vast majority of superannuation savers at some point in their lives.  The sector’s influence on Australia’s superannuation landscape is huge and largely positive. But recent moves towards using their influence to prosecute agendas that are not necessarily in line with maximising their members’ retirement savings has been worrying.  Shareholder activism is fine when you’re playing with your own money.  Not when you’re doing it with someone else’s.  It is likely to be less feasible with the continuation of a Coalition Government. 

The 2019 election campaign has been an interesting ride and as usual has served to highlight something that should worry us all as superannuation savers, taxpayers and citizens. Our retirement savings system (headlined by superannuation) is still treated as a political plaything.That means any respite we feel today will probably last for three years at best.

Source Heffron

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Last Updated:15-08-2019 13:21