Tuesday, 13 June 2023
Aware Super congratulates the Commonwealth Government on committing to reforms that will increase the number of Australians with access to high-quality financial advice and guidance as they approach and move through retirement.
Aware Super’s Chief Executive Officer, Deanne Stewart, said the winners from the announced changes will be hardworking Australians who are looking for clear, high-quality financial advice to help them prepare for their retirement.
“We welcome today’s announcement by the Assistant Treasurer because it recognises what super funds have seen coming for a long time – the urgent need for Australians to have access to high-quality, personalised financial advice to help them get ready for, transition to, and enjoy their retirement,” said Ms Stewart
”Aware Super believes wholeheartedly in the value that high-quality financial advice can deliver to all Australians.
“These reforms are a great start to making high-quality advice super helpful to the five million Australians either already in or preparing for retirement – including more than 100,000 Aware Super members who will retire in the next five years.
“Superannuation has always been designed to provide a retirement income for Australian workers, and as a super fund we set out to help every Australian achieve their best possible retirement. That includes having easy access to affordable, understandable, high-quality financial advice at the moments when they need it most, such as setting up a retirement income stream, or understanding and realising your full Centrelink entitlements.
“Implemented well, the Government’s proposed reforms will allow us to truly change the way we help our members by making it more straightforward for consumers to be able to ask simple questions of their super fund and receive clear, personalised answers on the spot instead of having to wait days or weeks for an appointment. This would be a game changer for the way Australians interact with their super.
“It’s common sense that most of us will need a bit of expert help at some point along that journey, and within our own membership we see the benefit of that help first-hand.
“When we compare like-for-like members’ outcomes in retirement, the data is really clear: our members who receive advice draw down more of their savings as income in retirement than non-advised members.
“Advised members recorded nearly two and a half times greater voluntary, tax-efficient contributions of non-advised members
“Our advised members consolidated twice the average amount of superannuation from other accounts, compared with non-advised members. Consolidating super accounts to the fund best suited to members can help them simplify their finances and avoid paying multiple sets of fees.
“And our advised members report feeling more confident about their financial position heading into retirement, which can mean they’re more comfortable spending from their super savings.
"The proposed reforms will significantly change the way Australians can access advice, and we urge the Government to work closely with industry and other stakeholders to ensure the changes are designed in a way that provides better outcomes for every Australian seeking retirement advice
“We look forward to actively contributing to the development of the new framework.”