Downsizer Super Contribution: Who Qualifies and What You Get
Learn how to move money from your home sale into your super if you are downsizing.
This scheme allows you to make a large, one-off payment into your superannuation using funds from the sale of your primary home.
Who it's for
This scheme is designed for individuals aged 55 and older who are in the process of selling their primary home. It is a way for those transitioning to smaller living arrangements to bolster their retirement savings.
What you get
When you sell your primary residence, you are permitted to make a one-off contribution into your superannuation. This contribution can be as large as $300,000. The main benefit is that this amount is allowed even if it goes beyond the standard contribution caps that usually limit how much money you can put into your super.
What it costs you
There are no direct fees mentioned to access this scheme, but there are specific requirements regarding the timing and the nature of your property sale. To ensure you are eligible, you should review the specific rules regarding your property sale and the timeline required to move the funds into your superannuation.
The catch to know
Eligibility depends on the specific circumstances of your home sale and your age. You must ensure that you meet all the criteria regarding your residency and your age at the time the contribution is made to ensure the money is handled correctly under the rules.
How to apply
- Confirm that you meet the age requirement of 55 or older.
- Confirm that the property being sold is your primary home.
- Consult with your superannuation fund regarding the contribution process.
- Check the official portal for specific documentation requirements for your sale.