$1m in super may not be enough: analysts ANY federal government move on superannuation risks setting the retirement system up for failure, national accounting firm Chan & Naylor warns. Superannuation is again on the political agenda amid ongoing speculation the Labor government could again rejig superannuation tax concessions, particularly for high earners, in the May budget. While Prime Minister Julia Gillard has ruled out tax changes on withdrawals by those with higher balances, the government has so far declined to respond to other concerns. Chan & Naylor director Ken Raiss says those holding $1 million in retirement savings are under the spotlight. "During recent weeks of political tax-grab barracking, the government has successfully managed to stigmatise Australian retirees who have managed to set aside their own monies for independent retirement," he said in a statement on Wednesday. At the same time, the government risked eroding confidence in superannuation. While $1 million was a considerable sum in today's terms, once medical and aged care costs are factored in it could be inadequate. Chan & Naylor forecasts a $1 million pension fund in today's money will need to be at least $2.5 million in 30 years time. "In simple terms, Australians are going to need more retirement income and the government of the day is doing surprisingly little to help," Mr Raiss said. Meanwhile, a survey by human resources consultants Aon Hewitt shows 58 per cent of businesses are still to determine how they will respond to increases in the superannuation guarantee for low paid workers. The guarantee will initially rise to 9.25 per cent, from nine per cent, from July 1 this year. It will then continue to increase incrementally to 12 per cent by 2019/20.