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

The information provided in this document, including any tax information is general information only and does not constitute personal advice. It has been prepared without taking into account any of your individual objectives, financial situation or needs. Before acting on this information you should consider its appropriateness, having regard to your own objectives, financial situation and needs. You should read the relevant Product Disclosure Statements and seek personal advice from a qualified financial adviser. From time to time we may send you informative updates and details of the range of services we can provide. If you no longer want to receive this information please contact our office to opt out. Millennium 3 Financial Services Pty Ltd ABN 61 094 529 987, AFSL 244252.
The views expressed in this publication are solely those of the author; they are not reflective or indicative of M3’s position and are not to be attributed to M3. They cannot be reproduced in any form without the express consent of the author.

Last Updated:28-05-2020 11:57