SuperGuide
Superannuation and retirement planning information
Q: I have two super funds and being in my 60s and retired believe I’m eligible to change from accumulation to pension. If I do this, does this need to happen for both funds, or can I choose to have one fund with one account in pension/drawdown mode and have the second fund with one account remaining in accumulation mode?
If you want to take advantage of some of the changes to super this financial year, and get your SMSF shipshape for June 30, then get cracking.
In this webinar super expert Garth McNally answers recent questions from SuperGuide members.
Q: I was planning to make a $55,000 payment into my SMSF by 15 June 2024 as a Contribution Reserving Strategy for myself and my wife. With the limits increasing to $30,000 per person from 1 July 2024, can I make a $60,000 payment as Contribution Reserving instead of $55,000. In summary, can I take advantage of the new limits with Contribution Reserving prior to 1 July?
Q: I have $1.9 million in pension. Am I allowed to contribute to my accumulation super accounts? If so, how much can I contribute in terms of concessional contributions and non-concessional contributions? I’m 65 years old and not working now.
Year-end strategies and procedures to get the best outcomes from your superannuation before the end of the 2023-24 financial year.
If you’re unsure how the SMSF rules and regulations might apply to your fund, it’s worth going direct to the horse’s mouth – that is, the ATO.
If you have more than $3 million in super and are looking to reduce your balance and future tax, consider these issues first. Time is slipping away.
The increase in contribution caps from 1 July provides opportunities for SMSFs to potentially get up to $57,500 tax-deductible contributions into their super this financial year. Here’s how.
Q: I am interested in the apparent loophole that allows a pension fund to go above the applicable cap. In my case $1.7 million. On the ATO website it states that if your Total Super Balance on 30 June, the previous year is less than $1.48 million then non-concessional contributions for the first year can be $330,000. Thus, effectively making your new total super balance $1.81 million i.e. greater than the $1.7m cap. Can you explain any pitfalls in using this strategy to maximise funds in pension phase?
Q: Can you explain the conditions or requirements pertaining to lump sum withdrawals from a self-managed super fund in pension mode?
Q: I’m 67 years of age, and I’ve kept my SMSF in accumulation phase so far. There is only about $200,000 in my SMSF. I’d like to take a $7,000 lump sum out of my SMSF if possible. If I do this, will I need to provide a TBAR or some other kind of report to the ATO?
Q: I have maxed out my non-concessional contributions ($330,000) in July 2023. When is the earliest I can make new non-concessional contributions?
Q: Is there a cap on the total balance (accumulation and income funds combined) one can have in super once one has set up an income stream pension? What is the rule for a 67-year-old?
Q: I have just retired at the age of 60, mainly to access my Super returns tax free. Do I also have to start a pension, or can I delay that a few years, so I don’t have to start withdrawing the minimum 4% annually?
A: There are lots of similar questions on this topic. First of all, I believe that SMSF liquidity and SMSF diversification will become even more important.
Q: I would love to understand a little more about segregating assets on reaching pension phase. i.e. how it works in practice and reasons when such a strategy might be appropriate?
With contribution caps set to increase on 1 July, people need to weigh up their options before making additional super contributions before and/or after June 30.
