{"id":105195,"date":"2025-08-06T17:30:00","date_gmt":"2025-08-06T07:30:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=105195"},"modified":"2025-08-06T17:18:26","modified_gmt":"2025-08-06T07:18:26","slug":"new-superannuation-rate-women-400k","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/new-superannuation-rate-women-400k\/","title":{"rendered":"New Superannuation Rate Could Give Women $400K Boost in Retirement Savings"},"content":{"rendered":"\n

Australia\u2019s new 12% superannuation guarantee is set to deliver a significant increase in retirement savings for women, according to new modelling from HESTA<\/strong>. The superannuation fund found that women beginning their careers this year could retire with more than double<\/strong> the savings of those leaving the workforce in 2025.<\/p>\n\n\n\n

The analysis highlights the financial impact of the rate increase and recent reforms such as super payments on Commonwealth Paid Parental Leave<\/a>. These changes, while welcomed by industry experts, are also being framed as the foundation for further efforts to create a fairer retirement system for women and low-income earners.<\/p>\n\n\n\n

Modelling Shows Significant Gains for Female Workers<\/strong><\/h2>\n\n\n\n

According to HESTA<\/strong>, an average female member starting her career on 1 July 2025 is projected to retire with approximately $712,000<\/strong> in superannuation <\/a>savings. This represents a $411,000 increase<\/strong> compared with women retiring this year who have faced lower contribution rates for most of their working lives.<\/p>\n\n\n\n

HESTA\u2019s chief executive, Debby Blakey<\/strong><\/a>, said the research factored in common career interruptions, such as time out of the workforce to raise children and periods of part-time work. \u201cThe increase in the super guarantee to 12% marked another milestone <\/strong>for Australia\u2019s world-class retirement system and has already started to benefit millions of working Australians. This modelling shows its clear value in helping more women retire with dignity into the future,\u201d she said.<\/p>\n\n\n\n

Nearly 80% of HESTA\u2019s one million members<\/strong> are women, many of whom work in lower-paid sectors such as aged care and early childhood education. These factors, combined with the historical absence of super on parental leave, have long contributed to a gender gap in retirement savings. The modelling, prepared with Laneway Analytics<\/strong>, illustrates how the new rate and additional reforms could start closing this gap for the next generation of female workers.<\/p>\n\n\n\n

Calls for Further Reforms to Improve Fairness<\/strong><\/h2>\n\n\n\n

The rise in the super guarantee coincides with the introduction of super payments on Commonwealth Paid Parental Leave, which aims to address an estimated $3 billion shortfall<\/strong> in retirement savings for mothers, according to HESTA<\/strong>. While these steps have been welcomed, the fund argues that further measures are needed to ensure fairness for women and low-income earners.<\/p>\n\n\n\n

HESTA has urged policymakers to increase the Low-Income Super Tax Offset (<\/strong>LISTO<\/strong><\/a>)<\/strong> threshold to $45,000<\/strong>, lift its payment amount, and extend superannuation to the Commonwealth Carer Payment<\/strong>. <\/p>\n\n\n\n

The fund also supports indexing the Work Bonus threshold to allow retirees to work more without reducing their Age Pension entitlement. \u201cThese changes should be seen as the foundation for further progress on creating a fairer super system, not the end,\u201d Ms Blakey said. <\/p>\n","protected":false},"excerpt":{"rendered":"

A landmark shift in Australia\u2019s superannuation system is set to reshape the retirement prospects of women across the country. New research reveals the potential for a $400,000 boost in savings for those beginning their careers in 2025, thanks to the increase in the super guarantee rate.<\/p>\n","protected":false},"author":10,"featured_media":105197,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[44],"tags":[],"class_list":["post-105195","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/105195","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/comments?post=105195"}],"version-history":[{"count":2,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/105195\/revisions"}],"predecessor-version":[{"id":105198,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/105195\/revisions\/105198"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media\/105197"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media?parent=105195"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/categories?post=105195"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/tags?post=105195"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}