Super: Questions regarding co-contribution and spouse contributions
#1
Just Joined
Thread Starter
Joined: Jan 2010
Posts: 5
Super: Questions regarding co-contribution and spouse contributions
I am looking for some ways to optimize my (non-working) wife's super .
I am aware that I can do a spouse contribution which will allow me to claim a rebate of up to 540$.
My confusion starts with co-contribution:
- if i pay 3000 AUD to my wife's super account, does the money meets the requirements for co-contribution (or does my wife has to pay 1000 or more AUD in her name)?
- Apparently there is a eligible test for the co-contribution (10% or more of my wife's total income has to come from eligible employment). At the moment she only earns some (limited) money from some saving accounts. Does this mean that stay-home moms who do not work at all, are not eligible?
Thanks for your help,
Jan
I am aware that I can do a spouse contribution which will allow me to claim a rebate of up to 540$.
My confusion starts with co-contribution:
- if i pay 3000 AUD to my wife's super account, does the money meets the requirements for co-contribution (or does my wife has to pay 1000 or more AUD in her name)?
- Apparently there is a eligible test for the co-contribution (10% or more of my wife's total income has to come from eligible employment). At the moment she only earns some (limited) money from some saving accounts. Does this mean that stay-home moms who do not work at all, are not eligible?
Thanks for your help,
Jan
#2
Re: Super: Questions regarding co-contribution and spouse contributions
have a read of
http://www.equipsuper.com.au/files/F...tributions.pdf
and
http://www.equipsuper.com.au/files/F...tributions.pdf
And
http://www.equipsuper.com.au/files/G...ntribution.pdf
http://www.equipsuper.com.au/files/F...tributions.pdf
and
http://www.equipsuper.com.au/files/F...tributions.pdf
And
http://www.equipsuper.com.au/files/G...ntribution.pdf
#3
BE Enthusiast
Joined: Jan 2010
Posts: 440
Re: Super: Questions regarding co-contribution and spouse contributions
You can also do contribution splitting which basically takes money from your super and puts it in your wife's super.
There may be circumstances which make this worth doing; for example in my case my wife is older than me so can get her hands on the money about two years sooner, and she will not get past the tax free limit of $160k so she can take all the money out tax free when she comes to cash it in.
There may be circumstances which make this worth doing; for example in my case my wife is older than me so can get her hands on the money about two years sooner, and she will not get past the tax free limit of $160k so she can take all the money out tax free when she comes to cash it in.
#4
Forum Regular
Joined: May 2004
Location: Melbourne
Posts: 139
Re: Super: Questions regarding co-contribution and spouse contributions
You can also do contribution splitting which basically takes money from your super and puts it in your wife's super.
There may be circumstances which make this worth doing; for example in my case my wife is older than me so can get her hands on the money about two years sooner, and she will not get past the tax free limit of $160k so she can take all the money out tax free when she comes to cash it in.
There may be circumstances which make this worth doing; for example in my case my wife is older than me so can get her hands on the money about two years sooner, and she will not get past the tax free limit of $160k so she can take all the money out tax free when she comes to cash it in.
She may have to wait until she reaches the official retirement age of 65 soon to be 67.
#5
Forum Regular
Joined: May 2004
Location: Melbourne
Posts: 139
Re: Super: Questions regarding co-contribution and spouse contributions
I am looking for some ways to optimize my (non-working) wife's super .
I am aware that I can do a spouse contribution which will allow me to claim a rebate of up to 540$.
My confusion starts with co-contribution:
- if i pay 3000 AUD to my wife's super account, does the money meets the requirements for co-contribution (or does my wife has to pay 1000 or more AUD in her name)?
- Apparently there is a eligible test for the co-contribution (10% or more of my wife's total income has to come from eligible employment). At the moment she only earns some (limited) money from some saving accounts. Does this mean that stay-home moms who do not work at all, are not eligible?
Thanks for your help,
Jan
I am aware that I can do a spouse contribution which will allow me to claim a rebate of up to 540$.
My confusion starts with co-contribution:
- if i pay 3000 AUD to my wife's super account, does the money meets the requirements for co-contribution (or does my wife has to pay 1000 or more AUD in her name)?
- Apparently there is a eligible test for the co-contribution (10% or more of my wife's total income has to come from eligible employment). At the moment she only earns some (limited) money from some saving accounts. Does this mean that stay-home moms who do not work at all, are not eligible?
Thanks for your help,
Jan
But as for the 10% eligibility test for your wife (wife not working) if she pays the $1000 as a personal contribution she will not, unfortunately be entitled to the low income bonus.
Hope that helps
#6
BE Forum Addict
Joined: Jul 2007
Location: Brisbane
Posts: 2,949
Re: Super: Questions regarding co-contribution and spouse contributions
I did read somewhere, that in order to access her super at 60, she will have to satisfy a condition of release, such as retiring from work, and if she is not working this will not be met.
She may have to wait until she reaches the official retirement age of 65 soon to be 67.
She may have to wait until she reaches the official retirement age of 65 soon to be 67.
#7
Forum Regular
Joined: Nov 2007
Posts: 152
Re: Super: Questions regarding co-contribution and spouse contributions
I did read somewhere, that in order to access her super at 60, she will have to satisfy a condition of release, such as retiring from work, and if she is not working this will not be met.
She may have to wait until she reaches the official retirement age of 65 soon to be 67.
She may have to wait until she reaches the official retirement age of 65 soon to be 67.
Unless spending the funds or paying debts this may not be the best thing to do tho
#8
Forum Regular
Joined: May 2004
Location: Melbourne
Posts: 139
Re: Super: Questions regarding co-contribution and spouse contributions
Cheers