Turnbull Super Disadvantages Women

The Turnbull government’s superannuation changes will hit women aged over 50 more than any other group.

New analysis from the National Centre for Social and Economic Modelling (Natsem) shows the government’s super reforms actually discourage some women from contributing more to their super before they retire.

It has found women over 50 – who are earning enough to be affected by the policy changes – will be forced to pay a higher tax on their super contributions, as a proportion of their income, than men.

Natsem’s Prof Robert Tanton says the women most affected by the policy changes are at a stage in their lives where they should be contributing more to super, and are earning enough to do so, and should be encouraged to do so.

But he says the government’s policy will have the opposite effect, and he discovered the unintended consequences after running detailed modelling by age and gender.

“It’s a policy change that is intended to affect certain [high-income] groups, and is it affecting those groups, and that’s probably a reasonable change,” Tanton said.

“But inadvertently it’s affecting a particular group who should be increasing the amount of money they’re putting into super, and that’s females aged 50 to 64.”