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GOOD MOVE: Polling suggests those aged under 24 strongly support the treasurer’s idea. Photo: iStockphoto

Young warm to Hockey’s super plan

It may not be popular in political or financial circles, but the treasurer’s call for a debate on the use of superannuation for housing resonates where it counts. 

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Comments

The baby boomers have lived the dream; free education, growing economy, house prices that never go down and an incredible tax policy that benefits them in all facets as they get older. This generation have to complete on a truly global marketplace, they have ever-increasing education costs and any conversation about superannuation being used to cover a purchase a house is truly just another short-sighted policy from the silver spoon generation. Abolish negative gearing, have people investing in entrepreneurial business pursuits rather than just more houses and think a little bit longer than the political cycle when it comes to policy.

Hamilton Hill
Im 28, and about to buy my first home. I think the use superannuation for housing is a terrible idea. I can see how young people looking to buy would see an extra $10k as a great thing at first glance, however i cant see this fixing the larger issues surrounding housing affordability ie supply/foregin investment/urban planning issues. In addition, will this just not push a problem further down the line when it comes time to access our super and have considerably less to draw upon? I can see the political dilemma facing our policy makers. None would look to reduce the price of housing, they have their own homes and likely housing portfolios, and the backlash from voters who are home owners would surely end a few careers. However if they go for the alternative and try to cash up first home buyers, the property prices increase on par with the cash incentives. Im sure there are a few other options available to the Government other than us having to sacrifice our superannuation. I would of thought that considering our generation is likely to be supporting the aging population, that policy makers would be doing whatever they can to ensure we are financially supported for the future.

Perth
All valid comments. Tragically a lot of under 30's find it challenging to engage with their retirement funds, and under the new "lost super" legislation, even if the funds are ever returned to its owner, they will earn less than their funds are transferred to the ATO. If we are serious about building retirement savings, developing a range of innovative ways to make super even more beneficial will provide greater incentives to save via super. But with the Fed Govt capping the amount that can contributed, and talks up a longer preservation age, in addition to new high personal income tax-free thresholds, the evidence is that extra saving is already going elsewhere than into super. The current system simply isn't working.

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WA revenue

4th↑Competitive Foods Australia$1.38bn
5th↑Wilson Parking$1.14bn
6th↓ABN Group$1.02bn
7th↑Quadrant Energy$995.7m
8th↓Byrnecut$979.0m
104 private companies - large ranked by revenue most recent financial year

Housing starts

1st-BGC Australia2,436
2nd-ABN Group2,184
3rd-Ventura Home Group1,197
4th↓JWH Group1,012
5th-Summit Homes Group746
48 residential builders ranked by no. of starts (2016/2017)

Number of Employees

Private Companies - Large

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