Date of article: 20 August 2020
Last updated: 20 August 2020
From 1 July 2020 (2020-21 financial year), people aged 65 and 66 can make voluntary contributions without needing to meet the work test.
People age 67 to 74 and meet the work test can make voluntary contributions.
Work test is met when a person work a minimum of 40 hours over a consecutive 30 day period in a financial year. Unpaid work does not meet the definition of gainfully employed.
Enabling legislation: Superannuation Legislation Amendment (2020 Measures No. 1) Regulations 2020
A separate Bill, Treasury Laws Amendment (More Flexibility Superannuation) Bill 2020, to amend the Income Tax Assessment Act 1997 to enable individuals aged 65 and 66 to make up to three years of non-concessional contributions (bring-forward rule) has not passed both Houses of the Parliament. Sub-section 292-85(3) deals with when you can bring forward non-concessional contributions.
Back to news index
Do you need help with your situation or if you wish to discuss the above, please contact us. Our contact details.