Most want rise in super rate

THREE out of four people want the compulsory superannuation contribution rate increased to 12 per cent, a new survey shows.

Most want rise in super rate

THREE out of four people want the compulsory superannuation contribution rate increased to 12 per cent, a new survey shows.

The finding suggests most people believe the current 9 per cent rate will not generate sufficient funds alone to live off in retirement.

The survey, commissioned by the Australian Institute of Superannuation Trustees (AIST), found three-quarters of the 1206 respondents aged 18 and over would support a rise in the compulsory super rate if it was partly funded by the Government and partly by employees.

Only 16 per cent said they were against an increase in the rate.

"It appears that the majority of Australians would welcome an increase in compulsory super over the medium term and that they are willing to partly fund this increase out of their own pocket,'' AIST CEO Fiona Reynolds said.

The survey added weight to AIST's call for a bipartisan national retirement savings plan, she said.

"With 15 years of compulsory super behind us, the time is right for serious action to address the fact that ordinary working people aren't being served well by the current system,'' she said.

The average Australian super balance of about $70,000 meant many Australians faced a less-than-comfortable retirement, she said.

"It's clear we need to boost the level of compulsory super, but it's hard to envisage this happening without the support of the two major (political) parties,'' Ms Reynold said.