Super housing measures: First Home Super Saver and downsizing contributions into super
14 Dec 2017
On 13 December 2017, legislation was passed for the First Home Super Saver (FHSS) Scheme and the Contributing the proceeds of downsizing into superannuation (downsizing) measures. Details of the legislation can be found in the Legislation section of TaxVine.
These measures are part of the Government's broader housing affordability package to reduce pressure on housing affordability in Australia.
First Home Super Saver Scheme
From 1 July 2017 you can make voluntary concessional and non-concessional contributions into your superannuation fund to save for your first home. The First Home Super Saver Scheme may help first home buyers save faster due to the concessional tax treatment within super.
From 1 July 2018 you can then apply to release your contributions, along with associated earnings, to help you purchase your first home. You must be 18 years or over to apply for the release of these amounts.
Downsizing contributions into superannuation
The downsizing contributions into superannuation measure allows people who are 65 years and over to make a contribution into their superannuation after selling their home.
You may contribute up to $300,000 into your super from the proceeds of downsizing your main residence. Your spouse may also be able to make a contribution. A downsizer contribution is not a non-concessional contribution and will not count towards your non-concessional cap or the total superannuation balance test.