A plethora of superannuation law tweaks has recently been made by the Government, via recently passed legislative reforms which include:

Removing the $450 Threshold

From 1 July 2022, employers will be required to make super guarantee contributions to their eligible employee’s super fund regardless of how much the employee is paid. Employees must still satisfy other super guarantee eligibility requirements.

Reducing the Age for Downsizer Contribution

Effective for 1 July 2022, eligible individuals aged 60 years or older can choose to make a downsizer contribution into their superannuation of up to $300,000 per person ($600,000 per couple) from the proceeds of selling their home.

For contributions made prior to 1 July 2022, eligible individuals must still be aged 65 years or older at the time of making their contribution.

Removing the Work Test

Also from 1 July 2022, individuals who are between 67 to 74 year old will be able to make or receive personal contributions and salary sacrificed contributions without meeting the work test, subject to the existing contributions caps. They will still be required to meet the work test to claim a deduction for personal contributions.

Furthermore, the Government has also ‘made good’ on their promise of extending accelerated depreciation with legislation passing to extend the current Temporary Full Expensing measure by 12 months (i.e, to 30 June 2023).