Millions of Aussies will be able to turn a portion of future compulsory superannuation contributions into take-home pay under a plan unveiled by Pauline Hanson.
The bold One Nation proposal would allow renters and mortgage holders to take three per cent of their future super as wages for up to three years.
Employers would continue to make the full compulsory 12 per cent super contribution.
Aussie workers would then be able to choose to receive three per cent as wages, while the remaining nine per cent would go towards their retirement nest egg.
Nothing would change for those who opt to keep the full 12 per cent in super.
Under the proposed scheme, a couple earning a combined $168,000 a year would take home an additional $4,300 a year after tax, or $82 a week.
An individual worker earning $90,500 would pocket about $2,300 extra, or $44 a week, for three years.
The aim is to give Australians breathing space by allowing them to access more of their own money while facing cost-of-living pressures, without touching existing super balances.
One Nation leader Pauline Hanson has proposed a bold new scheme which would allow Aussies to turn a portion of future compulsory super contributions into take-home pay
Under the proposed scheme, a couple earning a combined $168,000 a year would take home an additional $4,300 a year after tax, or $82 a week.
Those who pay rent or a mortgage on the home in which they live would be eligible for the proposed scheme.
‘People are working their guts out and they’re still struggling. They need help today,’ Hanson said.
‘We face interest rates going up, warnings everywhere that rents are going to keep rising, insurance up … everything is getting more expensive and everyone knows it, but who is doing anything about it?
‘Well, we want to. It shouldn’t just be about handouts – just stop taking money off people when they need it to survive. Inflation is hurting and Labor’s incompetence is making life harder.’
Treasury has previously warned that dipping into super early should only be a last resort.
Labor’s Social Services Minister Tanya Plibersek warned that Australians would be worse off in retirement if One Nation’s plan came to fruition.
‘It’s obvious that One Nation wants you to raid your super instead of getting a pay increase,’ she told Sunrise on Monday.
‘We support higher wages and better super when you retire.’
Those who pay rent or a mortgage on the home in which they lived would only be eligible for the proposed scheme
Join the discussion
Should Aussies be able to use their future super to cope with rising living costs right now?
‘We’ve seen minimum wages increase by more than $12,000 since we’ve come into government.
‘We’ve had five tax cuts because we want you to earn more and keep more of what you earn, and we support higher superannuation.
‘We know that if you raid your super now, you’ll be thousands of dollars worse off in retirement.’
One Nation MP Barnaby Joyce argued that the extra take-home pay would allow many Aussies to keep a roof over their heads.
‘If they get kicked out of the house and lose their house, that is the most vital asset for you to have when you retire,’ he told Sunrise.
