Geoff from Meekatharra writes "My wife and I have recently built on a block of land that we have held for many years, we want to move into this new place and sell our existing home, are we still eligible to make a downsizer contribution?
It seems you are on the right track, and yes, you and your wife appear to be eligible based on the provided information. Here's a breakdown of the criteria:
Ownership Period: To be eligible for downsizer contributions, you need to have owned the property for at least 10 years before selling it.
Age Requirement: You must be at least 55 years of age at the time of making the contribution. Importantly, there's no need to meet the work test for contributions within this context.
Timing of Contribution: You should aim to contribute the funds into your superannuation within 90 days of the property settlement.
Contribution Amount: Each individual can contribute up to $300,000 as part of the downsizer contribution.
It's worth noting that the downsizer contribution is not restricted to downsizing in the traditional sense. Even if you're moving into a property of equal value, you can still make this contribution, provided you meet the ownership and age criteria and have the funds available to make the contribution.
While this information is meant to guide you, I strongly recommend consulting with a financial advisor or tax professional to ensure your eligibility aligns with your specific circumstances and to receive personalized advice.
Best of luck with your move and the sale of your existing home!
This blog contains general and factual information and does not take into account anyone's individual objectives, financial situation, needs or tax circumstances. We strongly recommend you contact one of our Advisers if you would like personal advice.
Redpoint Investment Holdings Pty Ltd (trading as CY Financial Advice), is a corporate authorised representative (No. 378099) of CY Financial Services (AFSL No. 509648)