Barefoot reveals median super balance of average Aussie

Linda asks: I’m writing on behalf of my mum, who’s distressed in regards to the upcoming adjustments to superannuation. She is a widow who has labored arduous all her life, saving like loopy to make sure she had a safe retirement (believing it was her duty to not be a burden to society through the pension) and to depart a tidy nest egg for her youngsters.

Mum has been suggested by her accountant that she is a smidge over the $3 million cap; as soon as he wraps his head across the adjustments he’ll, I’m positive, provide her glorious recommendation on how one can proceed. But right here is my query: what the …. is the Labor Government occupied with attacking the little nest eggs of atypical Australians? And what the …. is anybody doing about it? It seems that, regardless of unfavourable press consideration, the adjustments are going full steam forward. It’s simply not truthful! Thanks for listening, Scott, as nobody else appears to be listening to our small voices of protest.

Barefoot responds: I’m positive your mum should really feel like she’s being unfairly focused and her solely “crime” was that she labored arduous, saved tougher, and made savvy monetary selections. After all, she may have simply peed all her cash in opposition to the wall and retired on the complete pension, proper?

Well, that’s true.

Yet what’s additionally true is that your mom just isn’t “an ordinary Australian” and she or he doesn’t have a “little nest egg”. She’s bought extra cheese stuffed in her tremendous than 99.5 per cent of the inhabitants!

And moreover, as you’ve stated, she has entry to an accountant who will dutifully work out a technique to siphon that “smidge” of the tax-affected a part of her $3 million stability into one other low-tax setting.

So she’s going to be completely wonderful.

However, what most Australians are actually anxious about — and what the media has jumped on — is whether or not this transfer by the Government is the skinny fringe of the wedge.

So, is the media proper? Is the Government actually aiming to return after your tremendous?

Bloody oath they’re!

Yet that’s hardly breaking news. After all, with every passing 12 months, politicians — on either side — have made tremendous much less engaging.

Especially for increased earnings earners. They’ve intentionally restricted the quantity you possibly can put in annually and the way a lot you possibly can preserve in there, and now they’re upping the taxes.

My take?

They’ll preserve doing it.

Reason being, Australia has a quickly ageing inhabitants. Looking after previous folks is pricey. As are applications just like the NDIS. Someone must pay for it, and the heavy lifting will come from the wealthiest folks in our nation.