Report calls for changes to encourage retirees to spend superannuation savings

The Financial Services Council is calling for changes to the drawn down rules for retirees to allow them access more funds at a faster rate.

The report by Financial Services Council proposes changes that would see the amount of superannuation benefits left each year as a bequest halved by 2060, ensuring superannuation is primarily used up as income for retirement. Source: AAP / Moodboard

In a new report, the council proposes changes that could see Australians boost retirement incomes by 10 per cent each year, reduce pressure on the federal budget, and limit the hoarding of large super balances.

Changes proposed include: improving access to affordable financial advice, removing barriers to better retirement income products, and considering stricter means test rules for pensions.

The group's acting CEO, Spiro Premetis, spoke to Biwa Kwan about how the changes could improve the sustainability of super and reduce the pressure for tax setting changes.

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