If you own financial investments and receive the Age Pension, or you hope to claim the Age Pension, then you need to be aware of 2 important changes to the deeming rules for the Age Pension income test. These changes may mean that you’re eligible for a greater Age Pension entitlement. From 1 … [Read more...]
The upper asset thresholds for the Age Pension assets test lift again on 1 July 2013, which means more Australians may now be eligible for the PART Age Pension. A single person can own more than $735,000 in assets (excluding his or her home), and still receive a small PART Age Pension, while a … [Read more...]
This article is updated annually with new rates, or periodically to highlight changes (if any) to the Senior Australians & Pensioners Tax Offset (SAPTO) rules. This article includes SATO rates for the 2013/2014, 2012/2013, 2011/2012, 2010/2011, 2009/2010 and 2008/2009 years. Since 1 July 2012, … [Read more...]
We have received a lot of emails from readers who have expressed their frustration at the unfairness of the proposed pension tax on earnings above $100,000 a year, although a small minority have supported the tax. The common theme for the majority is that many Australians sacrificed and worked … [Read more...]
On 5 April 2013, the federal government announced that it proposes to extend the deeming rules for Age Pension income test, so they apply to new superannuation pensions, from 1 January 2015. According to the government, all products held by pensioners before 1 January 2015 will be grandfathered … [Read more...]
On 5 April 2013, the federal government announced that it intended to introduce a new tax on superannuation pension earnings above $100,000, taking effect from 1 July 2014. You can find the background to this proposed change in our SuperGuide article New tax on pension earnings over $100,000. If … [Read more...]
Q: I am drawing an account-based pension from my SMSF. I am turning 65 in June 2013. Will I need to draw a minimum of 3% or 3.75% for the 2012/2013 year? Or, in other words, what is the determining age, the one at the start of the taxation year, or the age attained in the course of the taxation … [Read more...]
Q: I run our SMSF. I wish to retire at 55. I am a little confused about the 4% minimum rule for pensions. Do I have to withdraw 4% of my total accumulation SMSF fund, or do I move some of the assets into a pension fund and then draw 4% a year (or whatever the pension relief amount is)? A: You ask … [Read more...]
Q: I am aware that the minimum amount of pension withdrawal is normally 4% (for under 65s) of the pension account balance (currently 3% for 2012/2013). Is there now any MAXIMUM amount of pension required to be drawn from a super fund? If not, is this still the case for account based pensions, … [Read more...]
Note: This article below explains the eligibility age for the Age Pension. For information on the retirement age for accessing superannuation benefits see SuperGuide article Preservation age: I’m 58. Can I withdraw my super benefits? Four years ago, in the May 2009 Federal Budget, the … [Read more...]
Q: I was an Australian citizen, age 37, and had been part of a super fund from about 1993/4. I left Australia in 2001. I see from your 12 legal reasons to cash your super article that I may be able to access my restricted benefit. You write: “Cease employment and have certain pre-1999 super … [Read more...]
This article contains 6 examples of the most popular questions received by SuperGuide from Australian citizens and Australian permanent residents departing Australia, and who are seeking to access super benefits before retirement. If you’re a temporary resident of Australia then check out another … [Read more...]
Q: My husband and I are getting ready to return home (USA) after living & working in Perth for the past 2 years. We came to WA on a 457 visa. My husband has a super fund & we were wondering if we can leave the money in his super until he reaches retirement age (i.e. preservation age). My … [Read more...]
Many Australians are facing hard times but mortgage repayments and everyday living expenses continue even when you lose your job, or suffer illness or other misfortune. We have received many emails from readers asking when, and how, you can claim your super benefits, including whether you can … [Read more...]
Q: I’m 24. I am currently paying off my house but I have a loan which a debt company bought off the bank. They sent me a letter of demand saying I have until the end of the month to pay the amount or they are going to take my house. Is there any way I can take out my super to pay that so I don’t … [Read more...]
