The complex and ongoing changes to superannuation will drive individuals to seek advice, IOOF head of technical services Martin Breckon says.
Breckon, who was recently appointed to the role, said he welcomed the government's superannuation reforms and described them as "fair and sustainable", but also said it will be incredibly difficult for members to manage on their own.
Breckon highlighted some of the amendments which will take effect on 1 July:
The removal of fund-capped contribution limits;
The establishment of a new accumulation interest for retail super funds when paying a super lump sum as a result of a commutation authority issued under the transfer balance cap system, and without the need of an application form at the time of commutation;
Commutations from income streams not counting towards a pension's minimum drawdown requirement, and similarly it will not be possible to elect a pension payment to be taxed as a lump sum withdrawal; and
Certain defined benefit funds can elect out of offering personal deductible contributions to their members.
One item that did not pass into law, Breckon noted, was the proposed relief to retain actuarial certificates for SMSFs and Small APRA Funds (SAFs) using the proportionate method to calculate their Exempt Current Pension Income if the fund was only paying account-based pensions or term allocated pensions.