OverSixty April 2023 Digital

OVERSIXTY.COM.AU | ISSUE 4 | APRIL 2023 7 NEWS Super shake-up? !is commemorative coin, the last of the six e"gies of the Queen, bears the inscription of her years of reign Photo: Getty Images NEWS Newly minted: a change of face !e question of early access to super fund is up for debate in a potentially signi#cant change to the system Photo: Getty Images NEWS ZOË MEUNIER NEWS O f the many changes set into motion fol- lowing the passing of Queen Elizabeth II in September 2022, one that has intrigued many is the changing of e#gies on coins. In December 2022, the Royal Australian mint released the design of the Queen Eliza- beth II Memorial Obverse, to be used on the obverse side on commemorative Australian coins, as of 1 January 2023. “"is !nal series of collectable coins will serve as a lasting tribute to Her Majesty Queen Elizabeth II, and a reminder for all Australians of her 70 years of service to Aus- tralia and the Commonwealth,” explained Assistant Minister for Competition, Charities and Treasury, Andrew Leigh. In total, six e#gies of the Queen have ap- peared on Australian coins since her corona- tion in 1953. "e Memorial Obverse, featur- ing British engraver Jody Clark’s portrait of Queen Elizabeth II, will have the notable ad- dition of an inscription of the Queen’s years of reign, reading “Elizabeth II 1952-2022”. "is interimobverse allows theMint to con- tinue producing collectable and investment coins until the transition to an e#gy of King Charles III, although existing Australian coins bearing the Queen’s e#gy will remain in cir- CLAUDIA BYATT NEWS T here may be a major change coming to Australia’s $3.3 trillion superannuation system, with Treasurer JimChalmers looking to crack down on early access. Chalmers pledged to legislate to ensure superannuation be preserved until retire- ment, which would make it harder for Aus- tralians to access their funds early. "e federal opposition, however, is push- ing for early access to remain open as part of a !rst home buyers scheme. Currently, you can withdraw from your su- per fund for many reasons, including paying for dental care, repaying a home loan or ex- periencing !nancial hardship – taxed at up to 22 per cent if you’re aged under 60 – or to pay for expensive medical bills. Until the pandemic, super withdrawals had been tightly restricted, but in the last three years, Australians were also allowed to raid up to $20,000 from their super accounts – in individual blocks of $10,000 – if they were experiencing hardship during COVID-19. John Kehoe, Australian Financial Review economics editor, told Today $36 billion had been withdrawn from Australians’ collective super during the COVID-19 pandemic. “"at’s something that Labor wants to shut the door on,” he said. Kehoe said there were two sides to the !rst home buyers scheme, saying people access- culation and remain legal tender forever. While the !rst coins featuring King Charles III’s e#gy will be released late in 2023, the Reserve Bank has revealed it will not be re- placing the portrait of Her Majesty Queen Elizabeth II with that of the new king on the $5 banknote. Instead, it will feature “a new design that honours the culture and history of the First Australians,” a decision made in consultationwith theAustralianGovernment. ing their super early could drive prices higher. “"e retirement income system showed the best way to have !nancial security in re- tirement is owning your own home,” he said. “It is people renting in retirement that do it really tough.” "e treasurer’s proposed changes could also have implications for the tax breaks su- per funds currently enjoy. "e budget is under pressure, and projec- tions suggest Australiawill be spendingmore on tax concessions than the pension by 2050.