Downsizer contributions

If you’re 60 or over, you may be able to put the money from the sale of your home into your super without the usual restrictions.

How it works

• You can contribute up to $300,000 ($600,000 per couple) from the proceeds of the sale to your super.
• You won’t pay tax on this contribution.
• It won’t affect your contributions cap as it's not a regular after-tax contribution (nor is it tax-deductible).
• If your downsizer contribution puts your total super balance over your personal transfer balance cap (between $1.6 million and $1.7 million), you generally won’t be able to make non-concessional contributions in future financial years. 
• It will count towards your personal transfer balance cap if you use your super to open a pension account.

How to make a downsizer contribution

1. Complete the ATO’s downsizer contribution form.
2. Make a cheque payable to UniSuper Limited and write your UniSuper member number on the reverse side. 
3. Mail your form and cheque to:
   UniSuper
   Level 1, 385 Bourke Street
   Melbourne VIC 3000

Eligibility

You can generally make a downsizer contribution if you:

• are aged 60 or older
• have owned your home for at least 10 years
• haven’t already made a downsizer contribution from the sale of another house.

See the ATO for the full list of eligibility criteria.

Things to consider

• You usually have to make your contribution within 90 days of settlement but the ATO may give an extension if there are circumstances beyond your control.
• Your residential house is generally exempt from the Centrelink assets test but super generally isn’t; this could affect any entitlements you receive.*
• The Government has proposed to extend eligibility for downsizer contributions to age 55, but this isn’t yet law. 

If you have any questions about downsizer contributions, call us on 1800 331 685 or contact us.