Government Schemes - First Home Super Saver Scheme (FHSSS)

01 May 2021

Congratulations if you are looking at buying or building your first home! If you have read our blog on Government Schemes for First Home Buyers, here is more information about the First Home Super Saver Scheme.

First Home Super Saver Scheme (FHSSS)

The First Home Super Saver Scheme allows first home buyers to save a deposit for their first home inside their super, speeding up the time it takes to save! It allows first-home buyers to make up to $30,000 in voluntary contributions to their superannuation fund to save for a home, with a limit of $15,000 per financial year.

Voluntary contributions are taxed at a lower rate compared to income (so reduces the tax you pay from your salary) and applicants are also entitled to access any earnings on their extra contributions.

Eligibility 

The Scheme is only available for building or purchasing both new and existing residential properties but can not be used for a houseboat, motorhome or vacant land.

It is a condition to move into the new home as your principal place of residence within 1 year from when the savings have been released and live there continuously for 6 months to be eligible.

Other conditions are being a minimum of 18 years old, at least one of the first-home buyers must be an Australian citizen and not have used the FHSSS before. 

Differing from other government and schemes, eligibility is based on an individual basis, which means couples, siblings and friends can still access their own FHSSS contributions to purchase the same property (even if someone has previously owned a home it will not stop anyone else who is eligible from applying).

Other Benefits

• Earnings made on contributions to the FHSSS are taxed to 15% 

• Putting your savings on autopilot into the FHSSS makes them genuine savings in the eyes of the banks

• If you do not use the funds to buy a home you can save them in your super fund for the future

Where can I find out more?

If you’d like to look into this scheme further, perhaps check out this CSC First Home Super Saver Scheme Calculator to see how this system works and could apply to you.

Buying from MyHouse

Trust is the most important factor and myhouse is committed to its clients, both our Sellers and Buyers. We want you to feel confident when you’re purchasing your first home and knowledgable of what is available to you. Contact us today if you’re interested in any of our properties and keep reading our Blogs if you’d like to learn more!