The First Home Super Saver Scheme allows you to invest more in your super to save for your first home.
Investing savings for your first home deposit in your BUSSQ super account could boost your savings by an estimated 30% compared to a traditional savings account1.
How can I invest my home deposit savings into my BUSSQ Super account?
To invest your home deposit savings in your BUSSQ super account you need to make extra personal contributions.
You may be able to salary sacrifice into super. Salary sacrifice is an agreement with your employer to have part of your wages paid into your BUSSQ super account before income tax is deducted.
You can also make one off personal contributions, for example if you receive an annual bonus, or you could contribute regular savings into your super as a direct deposit from your bank account.
Is there a limit to how much I can invest towards my first home in super?
Yes, the amount you can invest in super for your first home deposit is limited. You can contribute up to $15,000 a year and a total of $30,000 into super to save for your first home.
You also need to be aware of the government set limit, called the contribution cap, which defines how much can be contributed into your super. There could be tax implications if you exceed this limit of $25,000 in a financial year.
How can I access my investment savings when I am ready to buy?
When you are ready to withdraw your first home savings from your super account BUSSQ can guide you through submitting your application to the ATO.
From 1 July 2018, you’ll be able to withdraw personal contributions you’ve made into super since 1 July 2017, along with deemed earnings, to put towards buying your first home.
How can I save more for my first home deposit with my BUSSQ Super?
For most people investing your savings in super can provide tax advantages through tax offsets and reduced tax rates linked to salary sacrifice.
For an example of how the First Home Super Saver Scheme could help you save more for your first home with super read our case study.
BUSSQ has built Skylight Financial Solutions to give you access to the tools you need to purchase your first home sooner. Skylight can assist you to make the most from investing savings for your first home deposit in super.
1. The Treasury, Australian Government (2017) First Home Super Saver Scheme Fact Sheet. Retrieved from https://static.treasury.gov.au/uploads/sites/1/2017/08/Post-passage_fact_sheet_-_First_home.pdf