Q: I understand the three-year bring-forward rule now allows you to contribute up to $300,000 in after-tax contributions. My question is: What date does the second three-year period start? For example, if I contributed $300,000 on 28 Dec 2018, does that mean I can contribute another $300,000 on or after 1 July 2021 (or ... Read more
Understanding your life expectancy
Ever wondered how long you might live, and what the current projections are for Australians? These are natural considerations as you plan for retirement and older age. Common thinking has it that we are living longer, with healthier lifestyles and advances in medical science. After all, knowing how to spend your ... Read more
Financial advice: Only 124 independent financial advisers in Australia
Note: This article is updated regularly when new financial advisers join the independence club (latest update January 2019). A financial adviser does not have to be a member of the IFAAA to join the SuperGuide list, provided they can declare that they satisfy the requirements of being an independent adviser (we now ... Read more
Your 2018/2019 guide to non-concessional (after-tax) contributions
Note: This article explains the rules applicable to non-concessional contributions for the 2018/2019 year (and for the 2017/2018 year, and later in the article explains the rules applicable for the 2016/2017 year). See also SuperGuide articles New normal: $100,000 non-concessional contributions cap and Non-concessional ... Read more
Cashing in on the co-contribution rules (2018/2019 year)
Note: This article explains the co-contribution rules for the 2018/2019 year (for the 2017/2018 year, and also for the 2016/2017 year). The federal government is giving away money to anyone who makes a non-concessional (after-tax) contribution to their super fund, and who earns less than $52,697 a year for the ... Read more
Over-65s work test: How does it operate?
Super alert! Taking effect from July 2019 , the federal government has introduced a one-year exemption from the over-65s work test for Australians aged 65 to 74 with superannuation balances of less than $300,000. What this means is that, for the first year an individual doesn’t meet work test requirement, an ... Read more
Super contributions before and after age 65
Q: I have a three-part question. I turn 65 in January 2019 and would like to make a $325,000 contribution by way of off-market share transfers and cash to my SMSF before I turn 65 ($25K deductible super contributions and $300K non-deductible under the bring forward rules). Will I be able to take advantage of the ... Read more
SMSF basics: Trish’s 10 commandments of DIY super
If you’re running a self-managed super fund (SMSF), then you’re obviously aware that being an SMSF trustee/member is a very different experience compared with belonging to a large super fund. In a large super fund, someone else looks after your superannuation benefits. As an SMSF trustee, you make all of the C-A-R-T ... Read more
SMSF pension: Can I still make super contributions?
Q: I am 62 years of age and retired. I have recently commenced an account-based pension from my SMSF. Can I still make non-concessional contributions to that fund? A: I have divided your question into three parts. Can someone who is 62 years of age and retired, continue to make super contributions? Can an ... Read more
Accessing super: Turning 55 (or 56 or 57 or 58 or 59) is not enough
Q: I am 53 years old, born September 1964. I thought I could access my super funds from age 55 but I have been told I can’t access my funds until age 60. Is this correct? And, when I withdraw my super benefits, is there any tax payable? A: The general rule is that you must have reached your preservation age AND ... Read more
Preservation age: I’m 58. Can I withdraw my super benefits?
Q: Can you please tell me whether I can withdraw my super benefits when I retire at age 58? A: This answer assumes that your super benefits are preserved, and the answer to your question depends on your date of birth. Under normal circumstances, access to superannuation benefits requires certain conditions ... Read more
Case study: I’m 58 with $250,000 in super. Will my super be taxed?
Q: I turned 58 in July 2018, and I’m thinking of retiring before I turn 60. I would like to know whether I would have to pay tax on my superannuation. I know that after I turn 60, it’s tax-free, so my inquiry is regarding the period until I turn 60. My super money consists of compulsory employer contributions, and ... Read more
