Government offer access to a portion of your Superannuation to help you through this difficult period…
What does it mean?
For anyone impacted by the Coronavirus and with enough funds in their superannuation you can apply to withdraw $10,000 of your balance in the current financial year (1 Jul 2019 – 30 Jun 2020) and $10,000 in the next financial year (1 Jul 2020 – 30 Jun 2021). Currently if you applied for the early release in the next financial year, the option would only be available for three months, so you would need to apply by 30 Sep 2020. This of course may change.
Can I access it yet?
In a word NO! There are some machinations behind the scenes that need to be done and the earliest access will likely be mid-April. Early release
The rules for who will be able to apply are in the above link. Basically you need to be out of work, made redundant this year or your working hours have been reduced by more than 20%. A quick read through the link will give you everything you need to know.
Will I need to pay tax on the funds I access?
No
Will it impact on any other benefits I receive?
No
How do I apply when it becomes available in mid-April?
You apply via the Australian Taxation Office MyGov Website and you will need to certify that you meet the above eligibility criteria. If you do not have a login you will need to create one and the website steps you through that process.
Should I do this?
Early access to super can impact on your long term savings for retirement. Our advice would be only if you have to and we do understand that, for some, this will be a good option.
