Welcome to our very first SuperGuide newsletter, the only INDEPENDENT newsletter for consumers on superannuation in Australia. And it’s free.
We provide plain English information on superannuation and retirement saving. We will keep you updated on the latest changes in super, and when required, generate debate about issues affecting Australians planning for retirement, or living in retirement.
If I express a view you’ll generally read about it in THE SOAPBOX, which will be a regular feature of our SuperGuide newsletter, and our website. Each edition, we draw attention to an area of our super system that needs improvement. I promise that the views you read in THE SOAPBOX will be informed, and independent. Feel free to contact us if you have an issue that you believe needs to be explored in THE SOAPBOX.
We also want to spread the word about our free website, superguide.com.au, I started this website because I passionately believe that Australians are entitled to independent information about something as important as financial security, and retirement.
I am very proud of SuperGuide, and I hope you find our newsletter and website helpful.
If you like this newsletter and our website, then please pass on the newsletter to your friends and encourage them to sign up for SuperGuide newsletter. As consumers, we have more influence with decision-makers when we speak as a group.
Trish Power
FEATURES
Jump in Contribution limits for 2009/2010 year
The contribution caps for concessional (before tax) and non-concessional (after tax) contributions have increased for the 2009/2010 year. You can contribute up to $55,000 a year in concessional contributions for the 2009/2010 year, and up to $165,000 in non-concessional contributions. Read more
Relief in hard times for retirees
The Federal Government has announced temporary relief for Australians drawing down on superannuation pensions for the 2008/09 year. On 18 February 2009, Treasurer Wayne Swan and Senator Nick Sherry halved the minimum drawdown requirements for account-based pensions in recognition “that the significant downturn in global financial markets has had a negative effect on retirees’ superannuation capital in account-based pensions”. Read more
12 legal reasons to cash your super
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. On 2 March 2009, I was chatting with Tim Webster on Sydney’s 2UE and we received several calls from listeners asking when, and how, you can access your super benefits. Read more
NEWS
New super rates and thresholds now available
The ATO has released updated superannuation rates and thresholds for the 2009/2010 year. The main caps, rates and thresholds are listed below. Read more
Six-monthly pay rise for Age Pensioners
If you’re an Age Pensioner, you would have received your six-monthly pay rise on 20 March 2009. A single pensioner now receives $569.80 a fortnight (or $14,856 a year), an increase of $7.70 a fortnight. A couple on the Age Pension now receive $951.80 a fortnight (or $24,815 a year), a combined increase of $12.80 a fortnight. Read more
Light relief for SMSF lifetime pensions
Defined benefit pensions, such as lifetime pensions, are not eligible for the temporary relief on pension payments for the 2008/2009 year (see article ‘Relief in hard times for retirees‘). Certain lifetime pensions have received a reprieve however on repaying Age Pension entitlements due to failing a solvency test. Read more
Q & As
This section contains a selection of questions received from SuperGuide subscribers.
All super payments count for seniors health card from July 2009
Q; I am confused as to the definition of “taxed source” in the coming changes to Commonwealth Seniors Health Card (CSHC) eligibility. The principal in my SMSF (Allocated Pension) has a large proportion of “further contributions” (in other words, my own money). Will such be included in the income eligibility calculation? Read more
Reducing tax via super contributions
Q: I have a self-managed super fund (SMSF) and I also have two investment properties in my personal name. When I sell the properties, I will be required to pay capital gains tax. Can this capital gains tax be offset by a contribution to the SMSF which would be tax-deductible? Would there be a 15% contributions tax? I am 60 years of age, but not retired. Read more
Q: I am interested in setting up a self-managed fund. I would like to know more about rules for purchasing property in a super fund, and whether it is possible to use borrowings to do so. Could you recommend a book that would cover this in detail? Read more
THE SOAPBOX
THE SOAPBOX: Fair go for retirees and super savers
Millions of words have been written about the Global Financial Crisis, but very few practical words have been devoted to the plight of retirees, soon-to-be-retirees and those Australians planning ahead for their retirement. Read more
All content © Trish Power
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