There are several changes to Super announced for the 2023 financial year. As of 1st July 2022, the following amendments will be implemented:
From 1 July 2022, the super guarantee will increase from 10% to 10.5%. The Super Guarantee will increase by 0.5 percent each year until it hits 12% in 2025.
For more information on Super Guarantee , please see here.
The Members aged between 67 to 74 will no longer need to meet the work test for salary sacrifice or for non-concessional contributions. Members should be mindful of the total super balance.
The existing contribution cap arrangements will continue to apply, and the Members will still need to meet the work test if they wish to claim a tax deduction on the personal concessional contributions. For more information on Work
Test, please see here.
From 1 July 2022, Members under the age of 75 would now be eligible to use the bring-forward rule for their non-concessional contributions, on the basis they meet the criteria and be mindful of the total super balance. Previously, only Members below the age of 67 were eligible.
For more information on the bring-forward rule for Non-concessional contributions, please see here.
In response to the effect of COVID-19, the Federal
Government temporarily reduced the minimum pension payment requirements by 50% for the 2021 and 2022 financial year. The Government has decided to extend the temporary relief for a further 12 months till 30 June 2023.
For more information on pension, please see here.
The eligibility age for the Downsizer Scheme is lowered from 65 to 60 years on 1 July 2022. The Downsizer Scheme allows eligible Members who sell their home to make a one-off, $300,000 contribution to their Super, outside the concessional and other rules. Couples can contribute
$300,000 each.
For more information on this, please see here.
The maximum withdrawal from the First Home Super Saver Scheme will increase from $30,000 to $50,000 from 1 July 2022.
For more information on this, please see here.
If a Member withdrew their super under the COVID-19 early release withdrawal, they can now contribute the money back into the SMSF to rebuild their super balance. Members will need to meet the certain criteria before making the re-contribution.
For more information on this, please see here.
For more information on setting up and running an SMSF, please click here.
