Jeremy got into the office today and had an epiphany...
"epiphany", the manifestation of Christ to the Gentiles as represented by the Magi (Matthew 2:1-12)
Well I'm not the sure that this meaning clears up the fogginess but I'm pretty sure it means he's got on to something great.
So great in fact that we should alert all of our great and fantastic customers.
So here is Jeremy's epiphany....
Did you know that you can use your Super to get into the housing market?
Well you do now!!
It's called the FHSS. And of course the government has an acronym for it, we just loved to be confused. So we'll break it down for you...
The First Home Super Saver Scheme. Now that was much easier to say.
And of course there are rules. By using the scheme you can make extra tax deductible super contributions of up to $50,000 per person ($100,000 for couples), to your super fund. Then you can withdraw that money at a later date with the earnings and use this to purchase your first home.
Wow, not bad. So it's up to a maximum of $15,000 per year and a total of $50,000 overall. So you obviously are contributing over a few years. Using your super to fund your deposit could generate tax savings of up to $7500. More than enough to get the big screen TV and the bar fridge.
Now all this depends on your income levels and the tax rates applying to you, so you'll need to do a bit of homework first. and if you're a forward thinker, it's a good way of forced savings.
Until next time...
Mr G. Tax