Your articulation is super simple, and helpful. Love the easy animations with description... You are one of the rarest gem!!! Could you also talk about other super topics like carry forward contributions, cap limits
Thank you so much for your kind words! I'm glad you find the content helpful. Thanks for the suggestions-I'll be releasing a video tomorrow covering super strategies including carry forward contributions and cap limits. Stay tuned! 😀
On the ATO it states that: You can withdraw up to $15,000 of your voluntary contributions from any one financial year, up to a total of $50,000 across multiple years, plus associated earnings. What I'm confused about is that if you smartsalary and contribute $15,000, this gets taxed 15% when you put it in your super. Meaning it reduces the amount elegible to put towards FHSS to $12,750. Does this then mean that you need to over-compensate your voluntary contributions to $17,647 in order to actaully withdraw $15,000 after tax when the time comes? Or do you simply contribute the $15,000? Thnx for your time Rui!
Thank you for your question! You don't need to over-compensate. You simply contribute $15,000. The $15,000 limit is based on your pre-tax contributions, not the after-tax amount. Hope this helps! 😊
I think "carry-forward concessional contributions" would allow you to claim more than a 27.5k tax deduction in a financial year if you have unused contributions from the previous 5 years. They definitely could make it clearer in stating what is claimable in future years since im pretty sure all funds must be contributed and determination created before you sign any house contract. Thanks for the video, I was not aware that I needed to request my super fund for an intent to claim.
Hi there, thank you for your comment! I'm glad you realize the need to request a notice of intent to claim a tax deduction; that's very important. Carry-forward super contributions can be a great strategy to use in the FHSSS context as well for some people. You are right that a determination is needed before signing a first home purchase contract, but this is changing from the 15th of September 2024. I'm releasing a video on this very soon, so stay tuned. Also, you might find my video on super contribution strategies useful. ua-cam.com/video/B1SdtUSXNEM/v-deo.html&ab_channel=RuiShi Thanks again for your support! 😊
Video suggestion topic: The five year rule for superannuation-salary sacrifice contribution thresholds. I learned this myself after accidentally exceeding my annual threshold one year but after learning about it, I did some calculations and topped up my super so as to use up all of my five-years' worth of threshold. A video might benefit alot of other people though as most people I discuss this with don't know about it. Great work.
Thank you for the suggestion! My next video about superannuation strategies to save tax includes salary sacrifice, personal deductible contributions, the 5-year carry-forward rule, and other strategies. Stay tuned!😀
Hi Rui, thanks! I thought salary sacrifice is the only way for concessional super contribution. Now I understand. How long does the super generally approve the notice of intent to claim a tax deduction?
Hi! You're welcome 😊 It usually takes about 1-2 weeks for the super fund to approve the notice of intent to claim a tax deduction, but it can vary depending on the fund. It's always good to check with them directly for more specific timing!
Hi Rui, love your content! My partner and I are hoping to use the first home super saver scheme and the first home guarantee scheme at the same time. We are planning to purchase a house before July 2025 and wonder if the FHSS withdrawal will count as our taxable income for FY25? We are worried this will push us over the guarantee scheme income limit and cause us to be not eligible for the scheme. Any info or tips you can provide are highly appreciated!
Hi there! 😊 I'm glad you're enjoying the content. Here’s some factual information regarding your question: 1. When funds are withdrawn under the First Home Super Saver (FHSS) scheme, the assessable portion of the released amount is included in the taxable income for the financial year in which the release is requested. A non-refundable tax offset of 30% applies to this assessable amount, which reduces the tax payable. 2. For the First Home Guarantee, income thresholds are based on the taxable income from the previous financial year. The limits are $125,000 for individuals and $200,000 for couples. 3. Including the FHSS assessable amount in the taxable income could potentially affect eligibility for the First Home Guarantee, depending on whether it pushes income above the applicable threshold. Considering these points, the timing of an FHSS release and how it aligns with the income assessment period for the First Home Guarantee might be relevant. For further clarity, it’s a good idea to consult official guidelines or speak with a qualified professional. Wishing you the best with your home-buying plans! 🏡
When can we withdraw the amount under both circumstances? Salary sacrifice and personal deductible. If i need to buy new house, and I’m following “personal deductible contribution”, can I withdraw the contributed amount to buy new house?
Thank you for your question! Provided you meet the eligibility for using the FHSSS, you can withdraw the personal deductible contributions you made, up to the prescribed limit. For more detailed information, check the ATO page: www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/withdrawing-and-using-your-super/early-access-to-super/first-home-super-saver-scheme Hope this helps! 😊
Thanks for your question! The FHSS Scheme is only eligible for purchasing your first home to live in, not for an investment property. You must intend to occupy the property as your home for at least six months within the first 12 months after you purchase it. 😊
Thanks for your question! If you've already started contributing, the best course of action depends on your specific situation and financial goals. If you're unsure about the next steps or want to optimize your contributions, it might be helpful to consult with a financial adviser. They can provide guidance tailored to your circumstances. Remember, it’s important to ensure your contributions align with your overall financial plan. 😊
Hey Rui , really nice video ! I was wondering if I could help you with Highly Engaging Thumbnail + Video Editing which will surely increase your CTR & AVD which will help your videos to reach to a wider audience ! Please Lmk what do you think ?
Hi there, thanks for reaching out and for the kind words! 😊Right now, I'm managing everything solo due to budget constraints, but I'll keep your offer in mind for the future. Really appreciate it! x
@@OZRuiShi I recently purchased after having maxxed out the FHSSS so I’m very familiar with it. One suggestion: You get double taxed. 15c on contributions in, and then your withdrawal amount is added to your taxable income when you claim it, less a 30c offset. Ofcourse, this is buried in the fine print and there’s no mention of it in the glossy brochures about the scheme. Sadly I wasn’t able to withdraw within the new 24-25 year and benefit from the stg3 cuts. It’s a really deceptive scheme. You don’t actually save much money at all.
@@rakeau Thanks for sharing your experience! The scheme can indeed appear complicated and has many details to follow. It's important to understand all the aspects before making any financial decisions. If you have any other insights, feel free to share!
Your articulation is super simple, and helpful. Love the easy animations with description... You are one of the rarest gem!!!
Could you also talk about other super topics like carry forward contributions, cap limits
Thank you so much for your kind words! I'm glad you find the content helpful.
Thanks for the suggestions-I'll be releasing a video tomorrow covering super strategies including carry forward contributions and cap limits. Stay tuned! 😀
On the ATO it states that: You can withdraw up to $15,000 of your voluntary contributions from any one financial year, up to a total of $50,000 across multiple years, plus associated earnings.
What I'm confused about is that if you smartsalary and contribute $15,000, this gets taxed 15% when you put it in your super. Meaning it reduces the amount elegible to put towards FHSS to $12,750.
Does this then mean that you need to over-compensate your voluntary contributions to $17,647 in order to actaully withdraw $15,000 after tax when the time comes?
Or do you simply contribute the $15,000?
Thnx for your time Rui!
Thank you for your question!
You don't need to over-compensate. You simply contribute $15,000. The $15,000 limit is based on your pre-tax contributions, not the after-tax amount.
Hope this helps! 😊
I like this approach because as a casual employee my employer does not do salary sacrifice
Thanks for your comment. I'm glad the approach discussed is helpful for you. 😊
I think "carry-forward concessional contributions" would allow you to claim more than a 27.5k tax deduction in a financial year if you have unused contributions from the previous 5 years. They definitely could make it clearer in stating what is claimable in future years since im pretty sure all funds must be contributed and determination created before you sign any house contract.
Thanks for the video, I was not aware that I needed to request my super fund for an intent to claim.
Hi there, thank you for your comment! I'm glad you realize the need to request a notice of intent to claim a tax deduction; that's very important.
Carry-forward super contributions can be a great strategy to use in the FHSSS context as well for some people. You are right that a determination is needed before signing a first home purchase contract, but this is changing from the 15th of September 2024. I'm releasing a video on this very soon, so stay tuned. Also, you might find my video on super contribution strategies useful. ua-cam.com/video/B1SdtUSXNEM/v-deo.html&ab_channel=RuiShi
Thanks again for your support! 😊
Video suggestion topic: The five year rule for superannuation-salary sacrifice contribution thresholds.
I learned this myself after accidentally exceeding my annual threshold one year but after learning about it, I did some calculations and topped up my super so as to use up all of my five-years' worth of threshold.
A video might benefit alot of other people though as most people I discuss this with don't know about it. Great work.
Thank you for the suggestion! My next video about superannuation strategies to save tax includes salary sacrifice, personal deductible contributions, the 5-year carry-forward rule, and other strategies. Stay tuned!😀
Hi Rui, thanks! I thought salary sacrifice is the only way for concessional super contribution. Now I understand. How long does the super generally approve the notice of intent to claim a tax deduction?
Hi! You're welcome 😊 It usually takes about 1-2 weeks for the super fund to approve the notice of intent to claim a tax deduction, but it can vary depending on the fund. It's always good to check with them directly for more specific timing!
Hi Rui, love your content! My partner and I are hoping to use the first home super saver scheme and the first home guarantee scheme at the same time. We are planning to purchase a house before July 2025 and wonder if the FHSS withdrawal will count as our taxable income for FY25? We are worried this will push us over the guarantee scheme income limit and cause us to be not eligible for the scheme. Any info or tips you can provide are highly appreciated!
Hi there! 😊 I'm glad you're enjoying the content.
Here’s some factual information regarding your question:
1. When funds are withdrawn under the First Home Super Saver (FHSS) scheme, the assessable portion of the released amount is included in the taxable income for the financial year in which the release is requested. A non-refundable tax offset of 30% applies to this assessable amount, which reduces the tax payable.
2. For the First Home Guarantee, income thresholds are based on the taxable income from the previous financial year. The limits are $125,000 for individuals and $200,000 for couples.
3. Including the FHSS assessable amount in the taxable income could potentially affect eligibility for the First Home Guarantee, depending on whether it pushes income above the applicable threshold.
Considering these points, the timing of an FHSS release and how it aligns with the income assessment period for the First Home Guarantee might be relevant. For further clarity, it’s a good idea to consult official guidelines or speak with a qualified professional. Wishing you the best with your home-buying plans! 🏡
@ Thank you so much for the detailed reply! Some info I definitely wasn’t aware of. Really appreciate your time and response❤️
When can we withdraw the amount under both circumstances? Salary sacrifice and personal deductible.
If i need to buy new house, and I’m following “personal deductible contribution”, can I withdraw the contributed amount to buy new house?
Thank you for your question! Provided you meet the eligibility for using the FHSSS, you can withdraw the personal deductible contributions you made, up to the prescribed limit. For more detailed information, check the ATO page: www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/withdrawing-and-using-your-super/early-access-to-super/first-home-super-saver-scheme
Hope this helps! 😊
Hi Rui, thanks for the insights, may I ask if the FHSS Scheme is eligible for the investment property or only for the self-living property?
Thanks for your question! The FHSS Scheme is only eligible for purchasing your first home to live in, not for an investment property. You must intend to occupy the property as your home for at least six months within the first 12 months after you purchase it. 😊
Hi , What to do if I already started contributing? What’s the best thing I can do?
Thanks for your question! If you've already started contributing, the best course of action depends on your specific situation and financial goals. If you're unsure about the next steps or want to optimize your contributions, it might be helpful to consult with a financial adviser. They can provide guidance tailored to your circumstances. Remember, it’s important to ensure your contributions align with your overall financial plan. 😊
Hey Rui , really nice video ! I was wondering if I could help you with Highly Engaging Thumbnail + Video Editing which will surely increase your CTR & AVD which will help your videos to reach to a wider audience ! Please Lmk what do you think ?
Hi there, thanks for reaching out and for the kind words! 😊Right now, I'm managing everything solo due to budget constraints, but I'll keep your offer in mind for the future. Really appreciate it! x
Right .. So, same outcome, just, different route there.
Thanks for your comment. You summarised it perfectly!😊
@@OZRuiShi I recently purchased after having maxxed out the FHSSS so I’m very familiar with it.
One suggestion: You get double taxed. 15c on contributions in, and then your withdrawal amount is added to your taxable income when you claim it, less a 30c offset. Ofcourse, this is buried in the fine print and there’s no mention of it in the glossy brochures about the scheme.
Sadly I wasn’t able to withdraw within the new 24-25 year and benefit from the stg3 cuts.
It’s a really deceptive scheme. You don’t actually save much money at all.
@@rakeau Thanks for sharing your experience! The scheme can indeed appear complicated and has many details to follow. It's important to understand all the aspects before making any financial decisions. If you have any other insights, feel free to share!