Former President Donald Trump has publicly praised Australia’s compulsory superannuation system, reigniting debate over whether a similar mandated retirement savings structure could be viable in the United States. The discussion centers on the potential for a nationwide auto-enrollment program to boost long-term savings.
- Australia’s superannuation system requires employers to contribute 12% of an employee’s salary to a retirement fund.
- Over 15 million Australians participate in the system, with total assets exceeding $3.7 trillion as of 2025.
- The U.S. retirement savings gap is estimated at $7.3 trillion, with 43% of working-age Americans having no retirement savings.
- Trump’s endorsement comes amid growing bipartisan interest in expanding automatic enrollment mechanisms.
- A 2024 Congressional Budget Office analysis found that a U.S. version of the superannuation model could increase retirement savings by 31% over 15 years.
- The U.S. currently has no federal mandate for employer contributions, unlike Australia’s legally enforced requirement.
Former President Donald Trump has signaled support for Australia’s mandatory superannuation system, describing it as a model that could inspire reform in the U.S. retirement landscape. Speaking at a campaign event in December 2025, Trump highlighted Australia’s 12% employer contribution rate, which is automatically deducted from workers' pay and invested in government-approved funds. The U.S. currently lacks a federal mandate for retirement savings, relying instead on voluntary participation in 401(k) and IRA plans, with only about 58% of full-time workers participating in employer-sponsored plans as of 2024.