What are potential changes to superannuation and social security?
From 1 July 2021, the percentage rate for the Super Guarantee (SG) will increase from 9.5% to 10.0%. Employers will need to contribute additional money into their employees’ super accounts for the higher SG percentage rate.
When did the pension rules change?
In April 2015, changes came into effect giving people greater freedom and choice in the options available to them when accessing their pension savings.
When did Defined benefit plans end in Australia?
The Defined Benefit Plan for local government employees was a compulsory scheme set up by the Victorian Government in 1982 and was closed in 1993. Unlike other exempt public sector schemes, it must be fully funded to pay the benefits owed to members now and into the future.
What are pensioners getting from the budget?
NSW reaches 90 percent double dose target Australian pensioners doing it tough during COVID-19 have received some good news with the federal government announcing two cash payments as part of the 2020-21 budget. Pensioners will receive a $250 cash boost in December and another $250 in March next year.
What is a stapled super fund?
A stapled super fund is an existing super account which is linked, or ‘stapled’, to an individual employee so that it follows them as they change jobs. The change aims to stop new super accounts from being opened every time an employee starts a new job.
When was the last superannuation increase?
The contribution rate increased over time. The SG rate was 9.5% on 1 July 2014, and was supposed to increase to 10% on 1 July 2018; and then increase by 0.5% each year until it reached 12% on 1 July 2022.
What happened to pensions in 2006?
On 6 April 2006, a date that became known as ‘A-Day’, the Government introduced some major changes to personal and company pension rules to make pensions simpler. A new lifetime allowance was introduced, placing a limit on the amount an individual could hold in personal and company pension schemes without being taxed.
What are the new changes to superannuation?
On 1 July 2021, the concessional (before-tax) super contribution cap increased from $25,000 to $27,500 and the non-concessional (after-tax) contribution cap increased from $100,000 to $110,000. More information about this can be read here.
When did PSS close to new members?
30 June 2005
PSS is a public sector scheme established on 1 July 1990 by the PSS Act. It closed to new members on 30 June 2005. PSS is a defined benefit scheme where benefits generally derive from a member and employer component.
What is in the new budget for seniors?
The NSW Budget 2021-2022 | $14.3 million to support NSW veterans and seniors. In the Seniors portfolio Mrs Ward said $7.4 million will help ensure people continue to have social, healthy and active lives, with spending guided by the Ageing Well in NSW: Seniors Strategy 2021-2031.