"It was never meant to be a wealth creation tool but that is certainly what it became, especially in the Howard and Costello years." Absolutely. And a very tax efficient way of transferring wealth between generations. 2 million seems a reasonable figure. I still think the 100k you mention should be taxable , at least that part which represents money accumulated at concessionary tax rates .
So someone who has an income of 100k outside of super and 100 k from super, is not paying the same tax rate as someone who only has 100k of income.
As far as the amount over the 2mill , it should leave the super environment , even tax free as soon as possible , so the earnings , at least , are taxed appropriately.
cheers
ps: I am perfectly happy if the present arrangements continue , they are very much to my advantage. But I wont whine if more rational , sustainable processes are put in place. I will just be thankful I have been allowed to have my snout in the trough for as long as I have.
