The Australian Institute of Superannuation Trustees (AIST) has challenged the coalition to outline its plans for tackling the funding challenges of Australia's ageing population.
The association, which represents the not-for-profit super sector, said the coalition needed to come up with an alternative policy after rejecting the government's proposal to increase the superannuation guarantee from 9 to 12 per cent.
"It's not good enough for the coalition to simply quote selected comments from the Henry Tax Review, when Dr Henry himself warned that the review should be considered in its entirety," AIST chief executive Fiona Reynolds said.
"If the coalition really believes compulsory super should stay at the current 9 per cent level then it needs to explain how it plans to ensure the average Australian worker will be able to retire with dignity and how future generations of taxpayers will be able to fund the needs of our rapidly ageing population," Reynolds said.
"If the coalition has the solution to these demographic challenges, then let's hear it," she said.
The vast majority of taxpayers would have less super and experience a drop in take-home pay under the Henry Review recommendations compared to the government's super reform package, which included a super rebate for low-income earners, Reynolds said.
AIST was also opposed to the Henry recommendations because of the need for complex data matching requirements.
"Raising the superannuation levy is about creating a sustainable retirement incomes system that will meet the demographic challenges facing Australia" she said.
