Australia's Future Tax System reference paper: retirement incomes and pensions

Summary

Lower income earners, both male and female, cannot hope to save an adequate sum from the Superannuation Guarantee and voluntary savings. Their savings can however supplement the Age Pension set at an adequate level.

Women are especially at a disadvantage because of:

1. Their work in the home reduces their scope for paid work;
2. Lower earnings while employed outside the home;
3. Broken periods of employment; and
4. Greater longevity than men.

Already retired women will benefit from a significant increase in the means tested Age Pension and reform of associated benefits, such as housing allowances9 , together with ready access to subsidised or free health care (including dental care) and pharmaceuticals.