Is it worthwhile to deposit a downsizing contribution into my superannuation if it may not be there for a lengthy period. I am an aged pensioner and may buy a home within the next 3-12 months and was deciding whether it is advantageous to make this deposit in the interim when I will need to access it again for a home purchase. Thank you.
I agree, probably best to have a chat with a financial adviser when large sums of money are involved.
For a lot of people of age pension age there's little difference between holding money in a bank account and holding it in a super account, as their income level isn't high enough for them to be paying significant amounts of income tax.
For those on higher incomes there's an advantage from holding money in super rather than outside super, as earnings on the super account are tax free whereas earnings outside super will generally be subject to tax.
But even then that's probably not a large consideration if the additional money will only be staying in the super account for a relatively short period of time.
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