Top up your super from the sale of your house
If you’re over 65 and considering selling the family home for something more manageable, then you should consider whether the super ‘downsizer’ rule that allows you to top up your super with proceeds from your house sale may be for you.
If you sell a residence you live in, proceeds from the sale of your home, up to $300,000 for individuals, or up to $600,000 per couple, can be used to top up your super. This can make a significant difference to your super outcome.
To be eligible you must:
- Be 65 years or older at the time you make a downsizer contribution
- You or your spouse have owned your home for ten years or more and it must be your main residence
- Provide your super fund with a downsizer contribution form
- Make your downsizer contribution within 90 days of settlement
- The amount cannot be greater than the proceeds of the sale and you only have one lifetime opportunity to make a downsizer contribution
- You will not be able to make a contribution from any subsequent property sales
Refer to the ATO for eligibility and further details. You’re best to speak to a financial planner to make sure this is a good fit for you.
Slowing down your work life, but want to speed up your super savings?
If you're still working, there's still time to increase your retirement savings. A Transition to Retirement Income Stream might work for you. It can help minimise tax and is flexible to suit you.
You will need to open up a Pension account to set up your Transition to Retirement Income Stream.
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In presenting this information REI Super has not considered any individual person’s objectives, financial situation or particular needs. Individuals need to consider whether the advice is appropriate in light of their goals, objectives and current situation. Members should obtain and read the Product Disclosure Statement for REI Super before making any decisions and consider talking to a financial adviser before making an investment decision.
This information has been prepared and published by REI Superannuation Fund Pty Ltd ABN 68 056 044 770 RSE L0000314 AFSL 240569. REI Super ABN 76 641 658 449 and RSE R1000412 MySuper unique identifier 76641658449129 for the general information of members of REI Super.