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Government considers tax grab from Super

Discussion in 'Superannuation, SMSF & Personal Insurance' started by davewa, 15th Oct, 2012.

  1. davewa

    davewa Active Member

    Joined:
    22nd May, 2011
    Posts:
    40
    Location:
    Sydney, NSW
    Anybody read the recent two articles on Eureka Report regarding government plans to fund their promised budget surplus from Super?

    First was October 3 - see
    A super call to Eureka readers | Eureka Report

    Then October 10
    Super cash grab averted ..but don't relax just yet

    Seems that political risk is alive and well?

    Any comment from Forum members?

    davewa
     
  2. Simon Hampel

    Simon Hampel Co-founder Staff Member

    Joined:
    9th Jun, 2005
    Posts:
    4,619
    Location:
    Sydney, Australia
    I think the biggest threat is any move to limit or remove the ability for people to manage their own super.

    In recent years, the large institutions have proven how useless they are at managing people's money.

    What's more, I think industry super funds are some of the most insidious and manipulative organisations in existence and I personally would like to see a thorough review of the types of assets they hold and the way in which they report their returns - it is so incredibly open to manipulation by the funds, I believe it to be effectively fraudulent.
     
  3. davewa

    davewa Active Member

    Joined:
    22nd May, 2011
    Posts:
    40
    Location:
    Sydney, NSW
    Yes I used to have my super in a large industry fund. The number of mistakes they made with simply getting my account balance correct was shocking. I eventually managed to get them to correct all their mistakes, but this took a lot of pushing by me, and dragged out for several years!

    Some people say some SMSFs are poorly managed, or don't make enough effort to comply with the great number of rules. Well I imagine some are, but for one of the "highest rated" multi-billion dollar fund to be so incompetent is difficult to comprehend. It is also strange that so much is written about which company has the best investment return, and so little is written about how many accounting errors they make.

    This plus the GFC drove me into SMSF. My advice to members of industry funds? Check your financial statements carefully!

    Anyway nothing is constant, and now a certain amount of threat is coming from the current government. They seem to be rather anti-SMSF.
     
  4. Superman

    Superman Well-Known Member

    Joined:
    6th Nov, 2007
    Posts:
    343
    Location:
    Gold Coast, QLD
    Just more reasons to become actively engaged with your super.

    Whether you use a SMSF or not - people need to pay it more attention - especially Gen X + Gen Y + women!

    At the end of the day it will be your lifestyle that is impacted

    In regards to the current Government being anti SMSF - meh - maybe - could be something to do with union bosses sitting on the boards of industry super funds.....

    Some of the systems these huge industry and retail super funds run are still very inefficient and manual - fraught with errors and issues as Dave found out! This is why they are pushing superstream to try to fix it.

    SM