ATO finding “common mistakes” with Downsizer Contributions

The ATO is finding some common mistakes with downsizer contributions, and warns that failing to meet the criteria means the contribution could be counted against contribution caps. The downsizer contribution started on 1 July 2018, and allows older Australians to contribute up to $300,000 from the sale of their home into superannuation. Subject to meeting… Continue reading ATO finding “common mistakes” with Downsizer Contributions

Downsizer contributions put $1 billion into superannuation

$1 billion has been put into super from downsizer contributions. The downsizer contribution – which was part of the 2017/18 Budget – allows some older people to make a superannuation contribution of up to $300,000 from the proceeds of selling their home. The contribution is excluded from several limits on making contributions, including contribution caps… Continue reading Downsizer contributions put $1 billion into superannuation

Downsizing super contribution tops list of queries

The new downsizing superannuation contribution rules topped the list of the almost 3,000 queries to BT Financial Group’s Technical team in the September quarter. The downsizing contribution was announced in the 2017/18 Budget, and started on 1 July 2018. It allows eligible older people to make an extra contribution to super of up to $300,000… Continue reading Downsizing super contribution tops list of queries

Age pension larger downsizing factor than downsizer super contribution

Potential downsizers are worried about the impact on their Age Pension, which may limit the take-up of the Government’s proposed downsizer contribution, according to new research. Legislation is currently before the Parliament to enact the ‘downsizer contribution’, which would allow some people aged 65 and older who downsize to contribute extra to superannuation without some… Continue reading Age pension larger downsizing factor than downsizer super contribution

LDP wants considerable boost to FHSSS and downsizer contribution

Liberal Democrat Senator David Leyonhjelm wants to considerably boost the proposed First Home Super Saver Scheme (FHSSS) and downsizer contribution. Update: The Leyonhjelm amendment has been revised – it not longer includes the changes to the cap, instead including a requirement that the Minister start an independent review of the changes in the Bill. This review… Continue reading LDP wants considerable boost to FHSSS and downsizer contribution

FHSSS and downsizer contribution Bill introduced to Parliament

Bills to enact the First Home Super Saver Scheme and downsizer contribution have been introduced to Parliament. These measures, which were announced in the 2017, are aimed at improving housing affordability. Though Labor has criticised both the policy and the delay between the announcement and the introduction of legislation. Treasurer Scott Morrison said the Government… Continue reading FHSSS and downsizer contribution Bill introduced to Parliament

Downsizing super exemption not enough without age pension exemption

A possible Budget measure to exempt the proceeds of downsizing homes from the superannuation contribution caps will not be effective without there also being an exemption from the age pension tests, says National Seniors Australia. The Government is reportedly considering allowing people who downsize their homes to contribute an amount to superannuation outside of the non-concessional… Continue reading Downsizing super exemption not enough without age pension exemption

Proceeds from downsized home may be exempted from super caps in Budget

The Government is reportedly considering allowing exemptions from contributions caps and the Transfer Balance Cap for people who downsize their home and contribute the proceeds to superannuation. This is the latest in a series of pre-budget reports. Most recently there were reports of different ways in which first home buyers may be allowed to access… Continue reading Proceeds from downsized home may be exempted from super caps in Budget