Developing the Retirement Income Framework

2 CPD Points

Summit 2026: Stripping unnecessary complexity from the retirement process

This paper examines how complexity in the processes followed in retirement can be reduced without significantly compromising equity or fiscal sustainability. The processes involve navigating tax, age pension and home and aged care benefits and means tests. It argues that the current system imposes unnecessary administrative and behavioural burdens on retirees, advisers, industry and government agencies. Telephone waiting times on calls to Centrelink can be over an hour on most days. Reform cannot be considered without addressing the egregious inequities in the treatment of renters against homeowners; the impact of the asset test that penalises saving; effective marginal tax rates of over 100% for age pensioners still working and the 100,000 people on waiting lists for home care packages. The paper proposes a series of reforms guided by principles of simplicity, materiality, and lifecycle equity. Key recommendations include integrating income and asset tests through a unified framework, abolishing seventeen minor concessions and allowances, harmonising tax and welfare systems and home and aged care settings. A more radical alternative—abolishing both means testing and superannuation tax concessions—is also considered, drawing on international comparisons such as New Zealand. While acknowledging transitional and political challenges, The paper concludes that meaningful simplification is both feasible and necessary to improve efficiency, fairness, and decision-making in retirement.

0 CPD Points

Treasury Consultation: Education Reform for Financial Advisers

We strongly support the initiative to make it easier for financial services professionals to transition into financial planning through a more flexible and streamlined approach to recognising existing educational attainment while maintaining high standards.

7 CPD Points

Summit 2026: Towards Fairer Retirement Outcomes: Health Related Mortality Modelling

Accurate mortality prediction underpins actuarial practice, informing insurance pricing, retirement income planning, and product design. Building on recent evidence of socio-economic mortality differentials in Australia (Huang, Hui and Villegas, 2025), this study extends that framework by incorporating health-related variables for retirees and distilling them into a transparent Health Index. Using the ABS Personal Level Integrated Data Asset (PLIDA), linked to Medicare and Pharmaceutical Benefits records, we develop interpretable models that integrate the Health Index as an additional factor within the existing socio-economic model. By grouping individuals into risk-based cohorts, the approach mitigates adverse selection risks and preserves equity in risk pooling. Exploratory analysis shows that mortality risk rises steadily with higher healthcare use, further increased by comorbidity and polypharmacy, but are partly offset by regular preventive care. Notably, pain medication exposure is associated with an approximately threefold higher observed mortality compared with non-exposed peers, which aligns with the rise in opioid-related deaths over the study window and may reflect addiction. Furthermore, preliminary modelling results demonstrate significant gains in accuracy and fairness, with direct implications for fairer retirement outcomes and improved management of longevity risk. To facilitate adoption, our proposed methodology translates complex models into a concise set of health-related questions potentially suitable for underwriting, bridging actuarial modelling, and health data analytics. This work complements existing socio-economic mortality research, and provides new insights into health-related mortality, offering a foundation for more accurate, transparent, and equitable retirement outcomes in Australia.

2 CPD Points

It's Time: Here's How to Turn Superannuation into a Retirement Income System

A Dialogue Paper proposing a three-part reform package to help superannuation deliver on its core purpose: income in retirement for all Australians.

4 CPD Points

Summit 2026: Aged Care Financing in Australia: Individual, Government and Aged Care Provider Perspectives

Aged care financing in Australia presents a complex interplay of considerations across individuals, government policy, and aged care providers. For individuals, the financial risks and costs associated with aged care in later life require careful planning and integration with retirement strategies. Financing strategies should integrate superannuation savings and home equity to fund care needs, with growing importance placed on understanding the timing, affordability, and accessibility of aged care services. As longevity increases, so too does the need for sustainable personal financing models that can accommodate retirement income and both residential and in-home care options. From a government perspective, aged care reform is underway with the introduction of a new Aged Care Act and a shift in policy that places greater financial responsibility on individuals, especially in the Support at Home (SAH) program. This marks a departure from the Aged Care Royal Commission’s recommendation for a dedicated aged care levy, instead favouring increased co-contributions. These changes have significant budgetary implications and highlight a contrast with the National Disability Insurance Scheme (NDIS), which operates under a publicly funded, entitlement-based model. Aged care providers must navigate evolving regulatory and financial landscapes, including prudential standards that affect liquidity, investment practices, and operational margins. The aged care sector faces a wide range of financial sustainability pressures, including rising wages, regulatory compliance demands, and tightening margins. At the same time, with the new Aged Care Act prudential rules, the potential phase-out of refundable accommodation deposits (RADs), and changes to Support-at-Home (SAH) pricing and co-payments, providers face challenges in funding future capital requirements, maintaining liquidity, and supporting growth. Providers need to respond with workforce innovation and other strategic f inancing decisions while balancing care obligations with financial sustainability. Providers, whether for-profit, not-for-profit, or government-operated, face varying pressures in adapting to increased future demand and maintaining service quality. This paper explores these intersecting perspectives to illuminate the challenges and opportunities in aged care financing, offering insights into how actuaries can contribute to shaping resilient and equitable solutions for Australia’s ageing population.

1 CPD Point

Treasury Consultation: Building a Stronger and Fairer Super System Act 2026 – Draft Regulations

The Institute broadly supports the approach proposed by Government to calculating the Division 296 Tax for defined benefit (DB) interests. We provide some technical comments on the Regulations for consideration as they relate to DB arrangements and DB interests in SMSFs.

2 CPD Points

Summit 2026: Sequencing Risk and Asset Allocation

Driving a car downhill requires different skills from those required to drive the car uphill. Similarly, to secure optimum superannuation member benefits in the decumulation stage, different asset allocation strategies are required from those which apply in the accumulation stage. WHY? This is primarily due to sequencing risk. Many authors have attempted to define sequencing risk. The definitions are usually reasonably consistent with the definition in this paper. Some have illustrated it with simplified examples, but few, if any, have quantified it and then measured it based on historical data. This research compares the sequencing risk faced by a retiree or an annuitant invested in a balanced portfolio, with that resulting from investing in:  Australian shares,  international shares or  a combination of Australian shares and cash. Comparisons are also included for Australian direct and listed property, semi-government bonds and inflation-linked government bonds. In the final section results are presented for ‘real’ sequencing risk allowing for price inflation. The comparisons use both the Austmod historical data and simulated scenarios. The comparisons reveal that Australian shares combined with cash, offers better sequencing risk protection than traditional balanced portfolios.

1 CPD Point

Checklist for Retirement Modelling

Retirement models is a significant method of providing financial guidance to Australians to help them make appropriate decisions when planning for retirement and living in retirement. It is important that these retirement models adhere to some standards and provide the necessary information to the end user to make an informed decision. In this session, we will discuss how the Good Practice Principles for Retirement Modelling and the newly developed Checklist can be used by practitioners to assist in developing retirement models to meet these objectives.

2 CPD Points

Checklist for Retirement Modelling

Retirement models is a significant method of providing financial guidance to Australians to help them make appropriate decisions when planning for retirement and living in retirement. It is important that these retirement models adhere to some standards and provide the necessary information to the end user to make an informed decision. In this session, we will discuss how the Good Practice Principles for Retirement Modelling and the newly developed Checklist can be used by practitioners to assist in developing retirement models to meet these objectives.

0 CPD Points

IN Notional Taxed Contributions (December 2025)

0 CPD Points

Asset Liability Management_Past Assignments and Exams (2020-2025)

View the past assessments here.

0 CPD Points

Investment_Fellowship_Past Assignments (2021-2025)

View the past assignments here.

0 CPD Points

Investment Fellowship Subject_Past Exams (2021-2025)

View the past exams here.

1 CPD Point

Financial Advice Reform And Help Guidance And Advice - Presentation Slides

Members of the Help, Guidance and Advice (HGA) Working Group will present the findings of the Discussion Paper and lead a discussion with attendees.

2 CPD Points

Financial Advice Reform and Help, Guidance and Advice

Members of the Help, Guidance and Advice (HGA) Working Group will present the findings of the Discussion Paper and lead a discussion with attendees.

2 CPD Points

Financial Advice Reform and Help, Guidance and Advice

A Discussion Paper proposing a principles-based framework to make financial support more accessible and trustworthy for all Australians.