The changes include the abandonment of the proposed $500,000 retrospective cap, as well as the corralling of $1.6 million worth of funds in pension phase.
The complete removal of the $500,000 lifetime non-concessional cap will allow members of superannuation funds to recover their superannuation balances in the event of adverse market movements through making additional non-concessional contributions.
The superannuation account limit of $1.6 million imposed on the ability to make non-concessional contributions is a necessary step towards making superannuation system more sustainable.
In a volatile parliament, superannuation will continue to be leveraged in an attempt to get any reforms through the senate.
