This policy brief examines the Australian Government's compassionate release of super scheme and its impacts on women's economic security, with a particular focus on medical-related early withdrawals. The brief argues that while the scheme can provide short-term relief, it can also significantly reduce retirement savings and deepen the gender gap in superannuation outcomes. Critical questions are raised about the adequacy of regulatory oversight and consumer protections. 

The brief includes cases where women may not receive clear warnings about the long-term financial consequences of accessing super early.

Key findings 

• In 2024 to 2025, more than 34,000 women accessed their retirement funds early, with amounts released increasing by over 200% from 2018 to 2025. 
• Women are disproportionately affected by early release settings, particularly in areas such as dental care, IVF procedures and weight loss treatments, where costs are high and consumer protections can be weak. 
• Risks are amplified by limited regulations on the inconsistent information provided through third-party intermediaries. 

Recommendations

1. Require clear and prominent disclosure of the financial risks of compassionate release of superannuation on all related advertising. 
2. Require fee disclaimers from third-party intermediaries. 
3. More stringent oversight on third-party intermediaries and their involvement in compassionate access to super. 
4. Introduce independent assessment processes within the Australian Taxation Office's (ATO's) compassionate release of superannuation application requirements. 
5. Require individuals to attend financial counselling before release of super. 
6. Enforce nationally consistent oversight of the fertility, dental and weight loss sectors. 
7. Review Medicare benefits for dental treatment, IVF and weight loss surgery. 
8. Require ATO to publish data on gender, age and region breakdown per subcategory of compassionate release of superannuation for medical reasons.