Proposed First Home Super Saver Scheme
In the May Federal Budget, the government announced a proposed new First Home Super Saver Scheme (Scheme) to apply from Saturday 1 July 2017. The aim of the Scheme is to help first home buyers boost their savings for their first home. The Scheme would allow individuals to make voluntary contributions of up to $15,000 per financial year, and $30,000 in total, to their superannuation account. These contributions would be taxed at 15%. If passed, it would allow people to contribute from 1 July 2017 and then withdraw these contributions from 1 July 2018 to use for a first home deposit.
The government estimates that for most people this could boost the savings they can put towards a deposit by at least 30 per cent compared with saving through a standard deposit account (Source: Fact sheet).
The details are not yet final and the Scheme needs to be introduced as a new law by the Federal Government, however once details are finalised and the law is passed – we will look to enable Essential Super so our members can participate.
The government has provided a fact sheet and online estimator to help people understand how the Scheme works and the potential benefits.