Newsletter; Superannuation contribution work test exemption for low balance retirees
From 1 July 2019, the government will introduce an exemption to the “work test’ to allow all individuals aged between 64 to 75 with superannuation balances below $300,000 to make superannuation contributions in the first year that they do not meet the work test requirements. Currently, the work test requires a minimum of 40 hours worked in any 30 day period in the financial year.
This means that an individual who is between 65 and 74 would be able to make voluntary superannuation contributions one more year after they stop working (both concessional and non-concessional). The government has also decided, for those who use the work test in the year that they turn 65, to allow access to the bring-forward arrangements for non-concessional contributions.
