Jamie Williamson* says the 2021-22 Federal Budget didn’t allow for early super release for domestic violence survivors.
Among several other initiatives aimed at boosting women’s economic security, the Government has confirmed it will not proceed with plans to extend the early release of superannuation to family and domestic violence survivors.
Scrapping the plan will decrease receipts by $110 million over the forward estimates period and payments by $27 million over the forward estimates period, as ATO funding is no longer required.
Overall, it’s expected to cost the Government about $83 million.
When proposed, the measure copped criticism from various stakeholders, arguing that those who have experienced domestic violence shouldn’t be forced to erode their retirement savings to re-establish themselves.
“The Government is committed to removing barriers to women leaving family and domestic violence situations, including helping women set themselves up after leaving a violent relationship,” the Women’s Budget Statement read.
Among other things, the Government will provide $164.8 million over three years in financial assistance and support to affected women.
This will include a two-year trial of a program that will run through to 30 June 2023 providing women with up to $5000, including $1500 in cash and the remainder in goods.
It’s just one of many measures announced in support of women this year, with the Government also investing $10.7 million over two years to provide lawyers for women and streamline the distribution of property of less than $500,000 between parties following a relationship breakdown.
“After separation or divorce, women experience far more significant drops in household income than men… It is a time-consuming process and for many women it is too costly and is resolved too late to support them when they need it most,” the statement said.
“The proposal will help women achieve financial security and control, recover financially from separation, and move on with their lives.”
As previously reported, the Government will also establish the Family Home Guarantee which will make available 10,000 Government guarantees over four years to eligible single parents with dependants.
The initiative will enable them to buy a home with a deposit of as little as two per cent.
It’s estimated around 125,000 single parents with dependants will be eligible for the scheme – 84 per cent of which are female.
*Jamie Williamson is a contributor at the Financial Standard.
This article first appeared at financialstandard.com.au.
