Superannuation. Is it one big Scam

[Caesar]

How much should people have at say ages 30,40,50,60?
Im sure ive seen this somewhere

Superannuation calculator - Moneysmart.gov.au

Find out how much super you'll have when you retire and how fees can reduce your super balance.

moneysmart.gov.au

 

[Catgirl]

So I could access it (after paying a tax) if I’m no longer working, but am instead earning a passive income to live off?

Only if you've reached preservation age.

Rule atm is:

**Under preservation age (which is 60 for most people) = no access to super except in extenuating circumstances. Tax applies at the marginal rate

**Preservation age (60) to 64 (No tax applicable) = you can only withdraw freely from super if you:

A) have quit your job (this is a bit of a loophole. So just say you're working somewhere, and you then quit at 60. You can access your super. But if you start working again, you can only access the balance that you'd accumulated before you started the new job)

B) are fully retired and never intend to work again. Doesn't mean you can't ever work again.

C) are working less than 10 hours per week

D) have set up a Transition To Retirement (TTR) income stream, which allows you to access a maximum of 10% of your super per year. You can set this up even while working

**Age 65 or older (No tax applicable) = you can access your super freely regardless of whether you're working or not

Sent from my SM-G980F using Tapatalk

 

[Power Raid]

View attachment 1362140

absolute legend

setting up super and privatising assets has born a financial market that is world class, supporting endless amounts of businesses, technologies and entrepreneurs

 

[deck]

Now I ask this because I haven't had my morning coffee and want my superannuation now and not when I'm on my death bed when I'm too old to enjoy it. What a scam this is. Most people would be lucky to even get to 70 years old. I doubt I will make 70. This is a government scam is all about taking our hard earned money. Tell me how it isnt. Oh but you going need it they say when you are old. Life is to short to restrict money we earnt. When I'm old, get f**ked you pyramid scamer prick. I will take it on the chin with my saving then. Don't need government to hold my money. Why do we wait for its too late. Most ridiculous thing in life is paying for superannuation. What's the whole point of it if half don't make it to 70. I've known quite a few who died before they could even touch this money.
Is there a way we can access it beforehand as I want to completely cash out this scam 100%. I don't want my money going to the fat cats up in government smoking cigars and eating biscuits with my money. It's a joke and we are all fools to believe it. F**K superannuation. There I said it.

Now I'm going to have my morning coffee.

Sent from my CPH2025 using Tapatalk

Actually most people will live past 70 years old.

 

[FrankGrimes]

Actually most people will live past 70 years old.

exactly age expectancy is growing and i read/heard if you make 50-55 you have a 80% or so chance of reaching 85+, without super our economy would break paying people the pension alone.

 

[Gigantic]

It is a rort actually

Superannuation tax concessions specifically.

And not to mention, most who gain the benefit of the tax concessions are the already wealth - furthering inequality. And superannuation system in and of itself is pretty inefficient.

Scrap the superannuation system, let those who can look after their own money do so and direct funds towards the actual retirement income system (pension).

 

[burge13]

It is a rort actually

Superannuation tax concessions specifically.

And not to mention, most who gain the benefit of the tax concessions are the already wealth - furthering inequality. And superannuation system in and of itself is pretty inefficient.

Scrap the superannuation system, let those who can look after their own money do so and direct funds towards the actual retirement income system (pension).

You know how shit people are with money? This would be disastrous.

 

[Gigantic]

You know how shit people are with money? This would be disastrous.

I'd argue that keeping the superannuation system in its current form is far more disastrous to society at a macro level due to furthering inequality.

Have employers forego the 10% superannuation guarantee and pay that directly into people's bank accounts. With the cost savings from no longer having a superannuation industry, you can fund Australia welfare system better at a significantly more efficient cost.

Australia’s welfare system (age pension, disability, unemployment benefits, and Medicare) costs just $6 billion per year and employs 33,000 people while providing $45 billion in benefits. Compare that with the 55,000 employed in the superannuation industry that costs $36 billion per year to provide only $40 billion in benefits. Oh and let's not forget the tax concessions that the government won't have to give anymore.

 

[burge13]

I'd argue that keeping the superannuation system in its current form is far more disastrous to society at a macro level due to furthering inequality.

Have employers forego the 10% superannuation guarantee and pay that directly into people's bank accounts. With the cost savings from no longer having a superannuation industry, you can fund Australia welfare system better at a significantly more efficient cost.

Australia’s welfare system (age pension, disability, unemployment benefits, and Medicare) costs just $6 billion per year and employs 33,000 people while providing $45 billion in benefits. Compare that with the 55,000 employed in the superannuation industry that costs $36 billion per year to provide only $40 billion in benefits. Oh and let's not forget the tax concessions that the government won't have to give anymore.

All of that is fine and makes perfect sense but it doesn't factor in how stupid people are...

There'll be far more reliance on government and tbh there's too much as it is. This at least helps people be self-sustaining by forcing them to save money they'd otherwise blow on clothes they can't afford to look cool on the gram and other nonsense they buy outside their means.

I do agree people with good financial knowledge should be able to tap into their super for first homes or big ticket items, but we just have too many bozos to abolish it imo.

A 0.25 rate rise is going to be a problem for 1000's of families already stretched, let alone the more they should be raising it by. Many clearly cannot budget and have no money nous so forcing them to have savings is the answer imo. Probably not the 'perfect' answer but better than alternatives

 

[blueboy25]

I work in the super industry and I am still amazed at people's lack of understanding of Superannuation, retirement ages and access to the aged pension.

It should be taught in schools along with lessons on completing a tax return.

Unfortunately a lot of people wait until they are 50+ before they even look at their super and what investment option they are in or the benefits of salary sacrificing.

The Australian Super System is regularly in the top 5 in the rankings of retirement systems with Denmark and the Netherlands the standouts.

 

[Big Sauce 21]

I have no idea how it works.

 

[t_94]

I have super but rightly or wrongly I figure life will be shit if I live to be that old anyway so who cares.

 

[Evolved1]

I feel like there should be a system where you can prove you’re smart with money to justify accessing it whenever you want. It is a punishment to people who can actually use their money to build more wealth. I hate traditional finance and unfortunately I am forced to be exposed to it with my super.

Mate, I don't think us crypto traders will pass that test.

 

[74561347]

I work in the super industry and I am still amazed at people's lack of understanding of Superannuation, retirement ages and access to the aged pension.

It should be taught in schools along with lessons on completing a tax return.

Nah, schools have to teach important things like how all white people are racist and how there are 174 genders

 

[blueboy25]

I have no idea how it works.

It's a really simple long term investment.

Your employer has to put in 10% of your salary into your chosen super fund. You can put in extra up to certain caps.

The super fund invests it into a default investment option but you have the choice to switch investment options to a higher or lower risk option/s.

Common deductions out of your super are fees, insurance premiums and contribution tax (15%).

So basically
Contributions + Investment returns - deductions = account balance.

You can access your account balance at 60 if you have retired or 65 if you are still working and remembering for 99% the funds are tax free coming out of super.

For those that have started work in the early 20's and work to 60 on a reasonable wage should have a reasonably healthy super balance.

 

[kickazz]

Well yeah, let's make housing even more unaffordable.

 

[fer thissen]

I personally think pay v super should be reversed and the retirement age just brought down to, like, 36.

 

[HairyO]

Now I ask this because I haven't had my morning coffee and want my superannuation now and not when I'm on my death bed when I'm too old to enjoy it. What a scam this is. Most people would be lucky to even get to 70 years old. I doubt I will make 70. This is a government scam is all about taking our hard earned money. Tell me how it isnt. Oh but you going need it they say when you are old. Life is to short to restrict money we earnt. When I'm old, get f**ked you pyramid scamer prick. I will take it on the chin with my saving then. Don't need government to hold my money. Why do we wait for its too late. Most ridiculous thing in life is paying for superannuation. What's the whole point of it if half don't make it to 70. I've known quite a few who died before they could even touch this money.
Is there a way we can access it beforehand as I want to completely cash out this scam 100%. I don't want my money going to the fat cats up in government smoking cigars and eating biscuits with my money. It's a joke and we are all fools to believe it. F**K superannuation. There I said it.

Now I'm going to have my morning coffee.

Sent from my CPH2025 using Tapatalk

The retirement age and pension were set at 65 at a time when only 1 in 3 people made it to that age. Now 2 in 3 people will make it. If you think its a scam dont add any extra money to it, invest whatever is in there as wisely as possible, and make sure you can live off your own investments.

 

[fer thissen]

Lots of people see the pension as some sort of piggy bank return system for taxes. 'I worked all my life, and for what!' it's not at all, it's just a pretty good bonus for existence.

****in tell you what though, would've been sick being a Greek until about 15 years ago. retire at 55 with an average lifespan of 80: you spend the start chasing chicks around rocky grottos, do some work, then spend the rest drinking Mythos and catching fish. and probably still chasing chicks around rocky grottos. good on em.

 

[DickieKnee]

Lots of people see the pension as some sort of piggy bank return system for taxes. 'I worked all my life, and for what!' it's not at all, it's just a pretty good bonus for existence.

fu**in tell you what though, would've been sick being a Greek until about 15 years ago. retire at 55 with an average lifespan of 80: you spend the start chasing chicks around rocky grottos, do some work, then spend the rest drinking Mythos and catching fish. and probably still chasing chicks around rocky grottos. good on em.

I know some Aussie Greeks who have retired to Greece, they come back to Aus for a month every year and spend the rest of the year in Greece living like king's on the Aussie pension.

 

[Has No Rules]

Nah, schools have to teach important things like how all white people are racist and how there are 174 genders

don't forget the pay gap myth

 

[blueboy25]

I have super but rightly or wrongly I figure life will be shit if I live to be that old anyway so who cares.

So you think by the time you hit age 60 or 65 life will be shit?

 

[fer thissen]

So you think by the time you hit age 60 or 65 life will be shit?

To not have a fair suspicion of the future is pretty unthoughtful. nothing is getting better. even old people are taking on the terrible traits of the yoof. it's gonna suck man.

 

[craigos]

If I'm relying solely on my superannuation to live when I get to retirement age I'll just do a heap of pills and die.

 

[fer thissen]

If I'm relying solely on my superannuation to live when I get to retirement age I'll just do a heap of pills and die.

me in lockdown like