Treasurer attempts to reassure workers over superannuation

TREASURER Joe Hockey has conceded the money from delayed superannuation increases passed in Canberra on Tuesday may line employers' pockets.

But, he said, if the money were saved by leaving Australian workers' compulsory superannuation contributions at 9.5% until 2022, it would be a good thing.

"If it stays with employers, the best way to grow superannuation in Australia is to have a stronger economy," he said on ABC today.

"Because ultimately, superannuation is invested back into the economy; into real estate, into equities, into cash in the bank.

"The stronger the economy, the more superannuation is in play, the greater the prosperity for people in retirement."

Mr Hockey said the deal could lead to more money in people's pockets, however no such guarantee could be made.

He also rejected out of hand claims that the cost to national superannuation investment woul be $128 billion, saying such claims were based on "assumptions".

But Mr Hockey later confirmed the government was unable to quantify the potential extra costs of more Australia claiming full or part aged pensions, if their super nest eggs were smaller.

He said irrespective of how much money was going into super accounts, as long the economy was strong and such investments were making money, people would be better off.


Why a medical cannabis pioneer is moving to the North Coast

Premium Content Why a medical cannabis pioneer is moving to the North Coast

The cannabis oil manufacturer has its eye on possible opportunities in the local...

Lights, camera, action as new gig opportunity heads to Byron

Premium Content Lights, camera, action as new gig opportunity heads to Byron

The event will showcase at the Northern Hotel in Byron Bay later this year.

How to activate your free Daily Telegraph subscription

Premium Content How to activate your free Daily Telegraph subscription

Did you know you can get even more – for free?