Soon older Australians will no longer have to meet the work test to make superannuation contributions
From 1 July 2022, members under 75 years of age will be able to make or receive personal contributions and salary sacrificed contributions without meeting the work test.
This will be subject to existing contribution cap limits, however, they may also be able use the bring forward rule.
Fund Trustees will no longer have to administer the work test at the time they accept the contribution.
Removing the requirement to meet the work test when making non-concessional or salary sacrifice contributions will simplify the rules governing superannuation contributions and increase flexibility for older Australians to save for their retirement through superannuation.
However, those aged 67 to 74 will need to meet the work test if they wish to claim a personal superannuation deduction for their contribution.
For those individuals there is no change to the way they lodge their notice of intent to claim or vary a personal super contribution deduction.
The only change is that now we will be checking to see if they meet the work test at the time, they lodge their income tax return.
At Intuitive Super, our goal is to ensure that your self-managed superannuation is working to achieve your goals. Call our award-winning team on 1300 856 064. Read more »