News & Insights

Baby Boomers launch political party to save their super benefits

Self-funded retirees angry about proposed changes to superannuation and tax will have their own political party to vote for at this year’s federal election.

The SMSF Party has been formed by tax consultant and super specialist Grant Abbott, who claims groundswell support from his Baby-Boomer constituency had been “overwhelming”.

Mr Abbott, who has registered the SMSF Party with the Australian Electoral Office, claims more than 1600 have joined the party since he canvassed the idea among colleagues last week.

Don Hamson says the least wealthy self-funded retirees will bear the most pain of Labor’s proposal. Photo: James Brickwood

 

“I never believed that what started as a thought bubble would develop so much momentum so quickly,” said Mr Abbott, 62, a father of two daughters aged 16 and 21.

He plans to formally launch the party in Perth later this month and then start campaigning in mainland capitals to build awareness and support.

Don Hamson, managing director of Plato Investment Management, which has about $4.6 billion under management mostly in Australian equities, told a parliamentary committee on Friday that many self-funded retirees were “very concerned”.

“We believe this proposal is regressive, discriminates between superannuation funds based on member age and is unlikely to generate the forecast level of net savings,” Mr Hamson told the committee.

“The wealthy to super wealthy will seek advice to preserve franking value, many battlers will likely spend to keep most of their’s, but the ones in the middle will in many cases have to grin and bear it.”

Read the full article in the Australian Financial Review.