Michael Rice: With a 9 per cent contribution, even over a full working career, people will only have enough for retirement income. If you look at the Intergenerational report of Treasury, the number of people who will be self-sufficient in retirement in 40 years time will only grow from I think about 16 per cent to 20 per cent of the population.

So even to get retirement incomes up to a comfortable standard, you’re going to need to go to 12 or 15 per cent compulsory SG. If you then superimpose guaranteed aged care, that will be another couple of per cent. So it’s going to be a gradual change. And it’s one the community has to accept.

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