{"id":661,"date":"2018-03-14T16:35:02","date_gmt":"2018-03-14T05:35:02","guid":{"rendered":"https:\/\/finance4nurses.com.au\/?p=661"},"modified":"2018-03-14T16:35:02","modified_gmt":"2018-03-14T05:35:02","slug":"using-your-super-fund-to-save-for-your-first-home","status":"publish","type":"post","link":"https:\/\/finance4nurses.com.au\/using-your-super-fund-to-save-for-your-first-home\/","title":{"rendered":"Using your super fund to save for your first home"},"content":{"rendered":"\n
For most first home buyers, the property market can seem like a tough nut to crack. But today we\u2019ll look at a new super scheme that makes it a whole lot easier to save for a deposit.<\/strong><\/p>\n\n\n\n No? Fair enough, it hasn\u2019t been around that long.<\/p>\n\n\n\n In fact, it was only introduced in last year\u2019s federal budget to reduce pressure on housing affordability.<\/p>\n\n\n\n Basically, the scheme allows you to save money for a first home inside your superannuation fund, which in turn allows you to save faster due to the concessional tax treatment that super offers.<\/p>\n\n\n\n Under the scheme you can make voluntary before-tax contributions (including salary-sacrifice, taxed at 15%) and after-tax contributions into your super fund.<\/p>\n\n\n\n Then, from July 1 this year, you\u2019ve been able to apply to release your contributions, along with associated interest earnings, to help you purchase your first home.<\/p>\n\n\n\n Before you begin, you\u2019ll need to double check your super fund will release your savings under the FHSS scheme and find out about any fees or insurance issues that could arise.<\/p>\n\n\n\n You\u2019ll be able to make a maximum of $15,000 in eligible FHSS contributions in any one financial year, and a total of $30,000 across all years.<\/p>\n\n\n\n Now, remember before-tax contributions are taxed at 15%, so you\u2019d be able to withdraw up to $25,500 to use for a home deposit.<\/p>\n\n\n\n The good news? That amount will most likely have accrued interest over the years, which you can also withdraw.<\/p>\n\n\n\n The bad news? You must pay a marginal withdrawal tax (less a 30 per cent offset).<\/p>\n\n\n\n You win some, you lose some.<\/p>\n\n\n\nHeard of the First Home Super Saver (FHSS) scheme?<\/h3>\n\n\n\n
Contributions and withdrawals<\/h3>\n\n\n\n
Case study<\/h3>\n\n\n\n