If you’re 65 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 $1.6 million, you generally won’t be able to make non-concessional contributions in future financial years.
- It will count towards the transfer balance cap if you use your super to open a pension account.
How to make a downsizer contribution
- Complete the ATO’s downsizer contribution form.
- Make a cheque payable to UniSuper Limited and write your UniSuper member number on the reverse side.
- Mail your form and cheque to:
Level 1, 385 Bourke Street
Melbourne VIC 3000
You can generally make a downsizer contribution if you:
- are aged 65 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.*
Making a downsizer contribution is an important financial decision, so we recommend you start by speaking with a qualified financial adviser.