Pensioners: no need to panic!

LUCRF Pension members can rest assured that their imputation credits – or franking credits as they are also known – will not be impacted by Labor's plan to make franking credits non-refundable, should Labor get elected in the next Federal election.

Because LUCRF Super boasts a sizeable amount of pooled assets, we are able to use imputation credits and offset them against our taxable income. As a result, there will be no impact on pension members’ investment returns.

If franking credits are made non-refundable, self-funded retirees with a self-managed super fund (SMSF), or shares held outside of superannuation are likely to be at risk of losing a portion of their investment returns as a result of Labor’s proposed reforms to the tax system. If you know someone with a SMSF who is worried about the potential changes, encourage them to contact us to discuss our pension option, which will enable them to continue to benefit from franking credits. 

For further information or advice on how Labor’s election proposal could impact your pension, or should you wish to move your superannuation to LUCRF Super, please contact us on 1300 130 780.