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- Latest data from the Australian Bureau of Statistics has revealed Australians drew down on their nest eggs to pay mortgage, rent and household bills
- The COVID-19 early release super scheme was brought into play in April last year as a means of mitigating the financial impact of the pandemic on the Australian population
- Of those who accessed retirement funds under the scheme, 56 per cent used the funds for mortgage rent and household bill payments
- Around one in eight people put the money taken from their superannuation back into savings
- Just over one year on since the scheme started, $36.4 billion has been taken out of superannuation balances, according to the Australian Prudential Regulation Authority
Latest data from the Australian Bureau of Statistics has revealed Australians drew down on their nest eggs to pay mortgages, rent and household bills.
Of those who accessed their superannuation early as part of the Federal Government’s COVID-19 early release scheme, 29 per cent were found to have put it towards their mortgage or rent payments, according to the ABS.
A further 27 per cent used the cash to pay household bills, while another 15 per cent paid down credit cards or personal debts.
Around one in eight people put the money taken from their superannuation back into savings.
“We found that for people who accessed the scheme twice, the average total amount withdrawn was $17,441,” ABS Director of Household Economic Resource Surveys Dean Adams commented.
“The average single withdrawal was $7728 for the first opportunity, and $7536 for the second,” he added.
The COVID-19 early release super scheme was brought into play in April last year as a means of mitigating the financial impact of the pandemic on the Australian population.
Under the Federal Government scheme, eligible participants could draw up to $20,000 in two seperate payments of $10,000 from their superannuation balance.
The move drew some negative sentiments, namely from superannuation providers and super’s progenitor and former Australian Prime Minister, Paul Keating, on the grounds it could hamper retirement balances in the future.
Just over one year on since the scheme started, $36.4 billion has been taken out of superannuation balances, according to the Australian Prudential Regulation Authority.
