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FHSS release amounts

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I am currently making concessional contributions to my super fund, to make use of the FHSS scheme. 

 

My questions;

The yearly limit on voluntary contributions states $15,000, with a maximum amount of 30,000 across two years.

Does this 15K limit apply to both concessional and non-concessional contributions? It isn't clear.

 

This year I have made voluntary concessional contributions totalling approximately $18,000. If I make a determination on the 1-July, will the amount approved for release be approx 85% of $18,000 ($15,300, which will be reduced to $15,000?), or 85% of $15,000? ($12,750).

 

I'm guessing the 18K I've contributed is 3K higher than the limit allowed, to be able to utilise the full amount in the FHSS scheme. 

 

Thanks

 

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Devotee

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Hi @alix22

 

Welcome to our Community!

 

 I’ll try to help out, keeping in mind that the final release determination will ultimately be made by the ATO.

 

QUESTION) The yearly limit for release of FHSSS voluntary contributions states $15,000, with a maximum amount of 30,000 across two years. Does this 15K limit apply to both concessional and non-concessional contributions?

 

The withdrawal limits apply to the total of your voluntarily contributions, regardless of whether they are concessional, non-concessional, or a mixture of both. You can apply to have a maximum of $15,000 of your voluntary contributions from any one financial year included in release amount (or a total of $30,000 contributions across all years). In addition, you’ll also receive an amount of earnings that relate to those contributions.

 

QUESTION) During the 17-18 FY, I have made voluntary concessional contributions totalling approx $18,000. If I make a determination on 1-July (18-19 FY), will the amount approved for release be approx 85% of $18,000 ($15,300, which will be reduced to $15,000?)

 

This sounds correct, due to the $15,000 limit for each financial year. However it would be the above plus earnings. If an individual makes only concessional voluntary contributions to their fund, the FHSS determination will show a maximum release amount of 85% of the concessional contributions plus associated earnings.

 

If things change, you can get more clarity on the amount you can actually withdraw by getting a ‘determination’ before applying for release. This will let you know exactly how much would be considered in the release. Here’s how you do it;

 

Before requesting a determination, check your current superannuation balance. Then log on to ATO online services (via myGov). You’ll need to select Super > Manage > First home saver. If a client has;

 

  • not previously lodged a determination, the determination request will automatically display.
  • previously lodged a determination, the Declaration Summary will display. The client can select the option 'Create a new determination' at the bottom of the screen.

Work your way through the various screens (i.e. Determination Eligibility, Voluntary contribution & Deductions, then Declaration). The declaration summary will reveal the maximum release amount for your circumstances. Note: You can check the determination as many times as you like, however you can only request a ‘release’ once.

 

I hope this helps!

 

(Disclaimer – I work with the ATO and check in here from time to time to save ppl a phone call or two).

1 REPLY 1

Best answer

Devotee

Replies 0

Hi @alix22

 

Welcome to our Community!

 

 I’ll try to help out, keeping in mind that the final release determination will ultimately be made by the ATO.

 

QUESTION) The yearly limit for release of FHSSS voluntary contributions states $15,000, with a maximum amount of 30,000 across two years. Does this 15K limit apply to both concessional and non-concessional contributions?

 

The withdrawal limits apply to the total of your voluntarily contributions, regardless of whether they are concessional, non-concessional, or a mixture of both. You can apply to have a maximum of $15,000 of your voluntary contributions from any one financial year included in release amount (or a total of $30,000 contributions across all years). In addition, you’ll also receive an amount of earnings that relate to those contributions.

 

QUESTION) During the 17-18 FY, I have made voluntary concessional contributions totalling approx $18,000. If I make a determination on 1-July (18-19 FY), will the amount approved for release be approx 85% of $18,000 ($15,300, which will be reduced to $15,000?)

 

This sounds correct, due to the $15,000 limit for each financial year. However it would be the above plus earnings. If an individual makes only concessional voluntary contributions to their fund, the FHSS determination will show a maximum release amount of 85% of the concessional contributions plus associated earnings.

 

If things change, you can get more clarity on the amount you can actually withdraw by getting a ‘determination’ before applying for release. This will let you know exactly how much would be considered in the release. Here’s how you do it;

 

Before requesting a determination, check your current superannuation balance. Then log on to ATO online services (via myGov). You’ll need to select Super > Manage > First home saver. If a client has;

 

  • not previously lodged a determination, the determination request will automatically display.
  • previously lodged a determination, the Declaration Summary will display. The client can select the option 'Create a new determination' at the bottom of the screen.

Work your way through the various screens (i.e. Determination Eligibility, Voluntary contribution & Deductions, then Declaration). The declaration summary will reveal the maximum release amount for your circumstances. Note: You can check the determination as many times as you like, however you can only request a ‘release’ once.

 

I hope this helps!

 

(Disclaimer – I work with the ATO and check in here from time to time to save ppl a phone call or two).

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