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12% Super Guarantee

We undertake evidencebased advocacy to influence public policy settings which ensure the best retirement outcomes for fund members.

Lifting the Superannuation Guarantee to 12% is critical

The Superannuation Guarantee (SG) is the cornerstone of Australia’s compulsory superannuation system. The SG lifts the living standards of Australians in retirement and has a positive impact on the Australian economy.

The SG requires employers to pay 11 per cent of an employee’s earnings into their superannuation fund. From July 1, 2023, the SG is legislated to rise in half per cent increments each year until it reaches 12 per cent of wages in 2025.

ASFA considers 12 per cent SG to be critical to helping individual retirees to achieve a dignified retirement as well as improve the sustainability of the Age Pension and take pressure off future federal Government budgets as the population ages.

Key benefits of increasing the SG to 12%

Better retirement outcomes for women and low income earners

50 per cent of Australians will be living comfortably in retirement by 2050, double the current proportion

Significantly reduces future Age Pension expenditure

Superannuation and Australians' expectations

In October 2020, ASFA commissioned Utting Research to conduct an online survey of Australian superannuation account holders. Survey participants were asked about their views on the Superannuation Guarantee, ESG factors and their retirement lifestyle expectations.

ASFA’s 12 SG system objectives

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