Labor super ads 'propaganda': Cormann

THE federal opposition says government advertising about superannuation reforms are "propaganda".

Labor has launched a TV and online campaign to raise awareness of changes to the superannuation system that begin on July 1 this year.

The legislated changes include the reduction of fees and charges, standard payment methods for employers and new rules for self-managed funds.

However, opposition superannuation spokesman Mathias Cormann said the timing was curious considering the government was facing criticism over possible changes to super in the May budget.

"Australians saving for their retirement don't need more government propaganda on super - they need a firm commitment that Labor will leave their super alone in the next budget," Senator Cormann told AAP on Tuesday.

He said Labor had increased taxes on super by more than $8 billion over the past five years.

"Instead of wasting more taxpayers' money on Labor propaganda, the Gillard government should join the coalition in our commitment not to make any detrimental unexpected changes to super so people saving for their retirement can plan their future with confidence," Senator Cormann said.

Comment was being sought from Superannuation Minister Bill Shorten.

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Super savings less under Labor: Cormann

THE federal opposition says earnings on retirement savings are lower than they should be because of Labor government red tape.

Shadow Assistant Treasurer Mathias Cormann says the government has so far imposed more than $8 billion in increased taxes targeting people saving for their retirement.

Over the past five years the government has also cut super co-contribution benefits for lower income earners by more than $3.3 billion.

"We know that Labor is looking to impose more new taxes and more new red tape on super," Senator Cormann said in a statement on Thursday.

He said the government is desperate for more cash to pay for their wasteful spending and for the failure of their mining tax.

"Australians saving for their retirement deserve certainty and stability in super policy settings so they can plan their future retirement with confidence," he said.

Senator Cormann's comments came as a new study by global banking group HSBC found that Australians are underestimating the amount of income they will need in retirement.

Respondents expect they can survive of just two-thirds of their working life income, the lowest of the 15 countries surveyed.

"This attitude fails to take into account how they will cope with the likely increase in health and aged care cost of a 'frail' retirement," HSBC's head of retail banking and wealth management Graham Heunis said in a statement.

The 1000 Australians surveyed - in the wider global survey of over 15,000 people - expect their savings to last just 11 our of the 21 years in retirement, putting pressure on the aged pension, and despite reducing their living expenses.

Australians also have a short-termism approach to savings, with 53 per cent more likely to save for a holiday than retirement, the second highest proportion amongst all countries behind the UK.

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