The Budget and lack of retirement savings

It is interesting to note that of the people retiring over 80% are still reliant on the pension. No wonder the government is worried about funding into the future.

However instead of increasing the GST which may become necessary in the future what we must do is encourage people to save money

This could be done in a number of ways

Allow people is put in up to $100,000 a year tax free and then tax then when they are drawing down on the money

If people buy property and keep it for 20 years that it becomes capital gains except. The same could apply for a share portfolio

Unless the government start to offer a better way to save for there retirement I doubt that the 80% number will improve

What do others here think?

regards

Nigel Kibel

http://www.propertyknowhow.com.au

• This topic was modified 10 years, 6 months ago by  Nigel Kibel.