May 5, 2011 – RSM Bird Cameron’s thinkBIG 2011 study has revealed that uncertain global financial conditions are continuing to take their toll on Australia’s small to medium-sized enterprises (SME) owners’ satisfaction with their superannuation planning provisions.
RSM Bird Cameron undertook its fifth thinkBIG research study in March 2011, benchmarking the planning practices of SME owners and assessing the impact of recent global financial conditions on their businesses and personal finances.
Just 7 per cent of business owners’ are completely satisfied with their superannuation provisions, while 23 per cent are not at all satisfied.
18 per cent of SME owners reported that the economic uncertainty of the last two years has impacted on their superannuation planning, causing them to decrease their superannuation contributions.
Andrew Graham, national head of business solutions, RSM Bird Cameron, said, “Inadequate superannuation provisions continue to play on the minds of SME owners, leading them to seek advice, where they have not previously been inclined to.
“Despite this, thinkBIG 2011 reveals more SME owners indicated they would invest some of their retirement funds into superannuation, indicating a marginally higher level of confidence in the sector.”
thinkBIG 2011 fast facts
* 43 per cent of business owners will invest some proportion of their retirement funds into superannuation after leaving the business, up from 34 per cent in 2010.
* SME owners continue (compared to thinkBIG 2007 findings) to be less than satisfied that their total superannuation provisions will be adequate in retirement, recording an overall satisfaction rating of only 4.5 on a scale of 1-10, where 10 represents complete satisfaction.
* Owners of larger SMEs (with 6 or more employees) reported higher levels of satisfaction with the adequacy of their superannuation provisions, recording average scores of 5.7 (with 6-19 employees), 5.5 (20-49 employees) and 5.8 (50+ employees).
* 23 per cent of SME owners are not at all satisfied with the adequacy of their superannuation provisions, a marginally improved result on findings in thinkBIG 2010, in which RSM Bird Cameron reported a figure of 25 per cent.
* Consistent with 2010, only 7 per cent are completely satisfied with their superannuation provisions.
About RSM Bird Cameron
RSM Bird Cameron is the largest mid-tier accounting firm in Australia with national ownership and profit sharing and offers a full range of specialist advisory services, including business consulting and advisory, assurance and advisory, taxation consulting, corporate consulting and turnaround and insolvency. RSM Bird Cameron is a core member firm of RSM International, the sixth largest network of independent accounting and consulting firms in the world.