Submission to the Retirement Income Covenant consultation

Summary: National Seniors Australia submitted a response to the Retirement Income Covenant consultation by Treasury. They support a principles-based approach that allows superannuation members to choose products that meet their needs. They do not support compelling older Australians to purchase specific retirement income products. Emphasize the importance of informed choice and the need for a legislative environment that promotes it. Highlight the challenges faced by retirees with limited savings and the need for further simplification of the retirement income system. Discuss the objectives trustees should balance in developing a retirement income strategy under the covenant. Address the issue of longevity risk and the practical application of addressing it in retirement income strategies. Mention the research findings on retirees' awareness and planning for increased life expectancy and later life costs. Discuss older Australians' experiences and attitudes towards retirement income issues, particularly in light of the global financial crisis. Highlight the challenges and uncertainties faced by older Australians in managing their retirement income.