Australia currently spends around 2.3 per cent of our GDP on the aged pension, but that figure is falling (gross domestic product (GDP) is the value of all the goods and services created in a year).
“It’ll go down to around 2 per cent by 2060,” says Ms Delahunty.
"This is against a backdrop of an aging population with increased health needs.
“It’s bucking the trend internationally. Most OECD countries are [spending] 9 per cent and growing, and they will be above 10 per cent by 2060.”
Remember to not blow it all away at the fruit machines
Whatever I earn, my employer pays an additional 17% of that to my super (agreed amount under a union). The national minimum is 11.5%. It’s not taxed and it’s invested in funds that make it snowball to large sums at retirement age.
You’re allowed to withdraw some of under certain circumstances and it won’t be taxed then either.
Made yet, our generation and later won’t have any pension and minimal super. There will be no retirement for most of us.