The government has introduced a scheme where you are able to access your superannuation before retirement age. This scheme is already in place under superannuation law, but has been significantly enhanced in light of the economic issues resulting from COVID-19.
Under the scheme, you are able to access $10,000 of your superannuation account tax free during the 2019/20 income year. Also, another $10,000 can be made available for you in the 2020/21 income year.
To qualify for the payment, you would need to satisfy one of the following three criteria:
• Being made redundant.
• Had working hours reduced by 20% or more.
• Be a sole trader and have their business suspended or reduction of turnover by 20% or more.
Applications for early release can be made directly to the ATO via your myGov account, and the ATO will contact your super fund to release the money.
If you require assistance in any way, be it further questions, or ramifications of taking your retirement money early, do feel free to contact us.
