Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

I always pride myself on being as helpful as I possibly can be, but I feel that this is now getting quite repetitive, because I did take you through that list in response to an earlier question. It is a sign of my respect for your particular interest in this matter that, unlike when other senators go through repetitive questions like this, I am prepared to go there again.

As I have indicated, the government is introducing a range of superannuation measures that ensure that the superannuation system is accessible and relevant for all Australians. Many working Australians, especially women, take time out of the workforce to raise children or care for an elderly relative. Women spend twice as much time in unpaid work as men. This contributes to women having lower lifetime earnings and, therefore, lower superannuation balances. While women are most likely to experience interrupted work patterns, they also have a longer life expectancy than men and need higher superannuation balances to support a longer retirement.

This is why the government is introducing measures to boost women's superannuation savings. You have mentioned the low income super tax offset, as I have. This will support the accumulation of superannuation for low-income earners by avoiding the situation of paying more tax on savings placed into superannuation than on income earned outside of superannuation. In addition, the government will extend the current spouse tax offset to help more families to support each other in accumulating savings. The current 18 per cent offset of up to $540 will become available for any individual, whether married or de facto, contributing to a recipient spouse whose income is up to $37,000. This is an increase from the current income threshold of $10,800. The new income test for the recipient spouse will be $37,000 for the full offset, retaining the current $3,000 phase out with the offset zeroing out at $40,000.

From 1 July 2017—we have also discussed this, of course—any unused concessional superannuation contributions amount will be able to be carried forward on a rolling basis for up to five years for individuals with super balances of $500,000 or less—predominantly women. Together with existing measures, such as the government's co-contribution scheme, these changes will assist many working Australians, especially women who have low incomes or who take time out of the workforce to raise children or to care for an elderly relative. I would also say that the opportunity to make tax-deductible personal contributions and the additional flexibility that this provides for Australians across the hospitality sector and other sectors is something that we believe will also improve the flexibility of superannuation arrangements for women.