Category: Superannuation News
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ASIC Raises Alarms Over Shield and First Guardian Funds
ASIC has highlighted significant concerns about the Shield and First Guardian master funds, indicating that platforms hosting these funds should have declined due to various red flags. The lack of performance track record and high-risk nature of the products were key factors in this assessment. Despite no explicit reports of misappropriation, the regulator emphasized that…
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Netwealth and Hub24 Ride SMSF Surge in ASX 200
Investors seeking alternative options in the ASX 200 financials sector are turning their attention to self-managed super funds (SMSFs), which are experiencing significant growth. The total balance of SMSFs recently surpassed $1 trillion, with a notable increase in the number of funds being established, particularly among younger age brackets. The Guru’s Guide to Self-Managed Super…
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Division 296: New Tax Rules Impacting Super Balances Over $3M
In the realm of superannuation, there’s a new tax frontier on the horizon known as Division 296, poised to impact individuals with super balances exceeding $3 million. While this measure is not yet law, the proposed changes are causing a stir among those in the financial landscape. The crux of Division 296 is to levy…
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Superannuation Industry Evolution: Navigating Future Growth and Challenges
The Australian superannuation industry is at a critical juncture, facing a tipping-point challenge as the balance between contributions and withdrawals shifts. With Australians contributing substantial amounts to superannuation annually, the system is experiencing a significant evolution. Experts predict that by 2062, outflows will surpass inflows, marking a pivotal moment for the industry. This transformation underscores…
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AustralianSuper Divests Stake in WiseTech Amid Governance Concerns
AustralianSuper, the largest super fund in Australia, has made a significant move by divesting its stake in WiseTech Global, a tech company listed on the ASX. The decision was driven by concerns over governance and management issues within WiseTech that did not align with AustralianSuper’s expectations. This development comes amidst a series of scandals surrounding…
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Australian Superannuation Funds Face Cyber Attacks, Funds Compromised
Several Australian superannuation funds fell victim to cyber attacks, resulting in the theft of substantial amounts of money from members. Among the targeted providers were Hostplus, Rest, AustralianSuper, and Australian Retirement Trust. The breaches, which were detected following a surge in online security threats in Australia, highlighted significant vulnerabilities in the superannuation sector. Pacify 3…
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Payday Super Laws to Bolster Retirement Savings for Australian Workers
Payday super laws are set to revolutionize retirement savings as they mandate employers to pay superannuation along with wages. The move comes in response to the alarming prevalence of unpaid super, which deprives a quarter of workers of $5.1 billion annually. On average, each affected worker loses $1,800 in super per year, amounting to a…
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ATO Crackdown Reveals $659M Unpaid Super Guarantee Charges
The Australian Tax Office (ATO) recently disclosed that it had concluded 23,600 super guarantee cases in the 2023–24 fiscal year, resulting in a total of $659 million in super guarantee charge liabilities. This figure underscores the ongoing issue of employers failing to meet their superannuation obligations. A PRACTICAL GUIDE TO AUSTRALIAN SUPERANNUATION: A Plain-English Guide…
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Superannuation Sector Braces for Division 296 Tax Compliance Overhaul
The landscape of superannuation compliance is on the cusp of significant change with the impending introduction of Division 296 tax regulations. These changes, aimed at taxing unrealized gains within SMSFs, are expected to have a profound impact on the compliance environment, particularly concerning the reporting and valuation of fund assets. While the legislation is pending,…