In response, SMSF Association chief executive John Maroney welcomed the work test changes, saying they recognise the need for Australians to have greater flexibility as they transition to retirement.

“Work patterns are constantly changing, so it’s essential the legislation underpinning superannuation changes, too, to help ensure Australians can accumulate sufficient savings to have a secure and dignified retirement,” Mr Maroney said.

“It has long been the association’s policy position to support greater flexibility for making contributions to superannuation. Although our preference is to remove the work test altogether, this measure is a step in the right direction, and the government is to be commended for implementing this election promise.”

The bill is under an ongoing consultation which will close on 3 April 2020. Following consultation, the changes are expected to take effect from 1 July 2020.