So, progressively since probably the 1980s (maybe earlier?) Australia has introduced a system called "superannuation" (or just "super" for short). There are two

So, progressively since probably the 1980s (maybe earlier?) Australia has introduced a system called "superannuation" (or just "super" for short). There are two parts to this: 1. Mandatory contributions: currently 10% of your income; and 2. Voluntary contributions: you can contribute more and get a lower tax rate for doing so. By comparison, 401k contributions are tax free. Voluntary super contributions are not. This is intended to fund people's retirements to alleviate the upcoming strain on the Aged Pension just like the issues with Social Security. That is, in 10-20 years there'll be <3 working people per retired person. Australia's super requirements are stricter (eg currently you cannot withdraw before 65; 401k is 59.5). There are other differences. Anyway, super is generally in mutual funds and the like. But there is an option for Self-Managed Super Funds (SMSFs). This is where you can basically run your own fund. You need to get audited, pay fees, have an investment strategy, etc. Generally these are used to invest in things you can't through mutual funds. And this is abused to invest in residential real estate (because, you know, it always goes up). I generally think this system has been a disaster and shouldn't be allowed. It's to protect people from themselves, basically. For example, super investments can't be leveraged but through SMSF shenanigans I've seen balances wiped out by effective leveraging. Also, you'll see marriages where one spouse's super balance is used by another in a bad manner and then the marriage breaks down and this just adds to the financial disadvantage and stress of that spouse. I imagine this is particularly an issue in the case of psychologically abusive marriages. So I'm for any reform that restricts IRAs and 401ks from these one man shops.