Downsizer Contribution: A Win for Older Home Owners

older couple

Older Australians who sell their home after 1 July 2018 will be able to make a downsizer contribution into their superannuation fund if they meet all eligibility requirements.

Announced in the 2017-2018 budget and taking effect from 1 July 2018, homeowners over 65 who meet certain eligibility requirements may choose to make a โ€˜downsizer contributionโ€™ to the maximum amount of $300,000 ย into their superannuation when they sell their home.

The downsizer contribution is a non-concessional contribution which will not count toward contribution cap, however, the contribution is not tax deductible and will be taken into account if applying for, or already receiving, the age pension. While a person can only make downsizing contributions from the sale of one home, there is no requirement for them to purchase another home which will be of benefit to those who are moving into aged care facilities or to live with relatives. However, those wanting to buy a new property can still do so.

To be eligible for the โ€˜downsizerโ€™ measure you must be 65 years or older, have owned the home for a minimum of 10 years (mobile homes, caravans, houseboats are not eligible) and the contract of sale of the home was exchanged on or after 1ย July 2018.

The downsizer contribution must be made within 90 days of receiving the proceeds of the sale and a downsizer contribution form must be filled out and given to your superannuation fund before, or at the time, of the deposit. The contribution can only be made from the sale of one home and cannot be greater than the total proceeds of the sale of your home, however, if youโ€™re part of a couple each person can make a contribution of up to $300,000.

This article is intended to be a guide only. For full details and eligibility requirements please visit the ATO website and talk to your financial advisor before making any decisions about selling your property for the purpose of contributing to your superannuation fund. For information on how Noel Jones can help you sell your home contact your nearest office today.

Share:

More Posts

ELEVATE 2025

ELEVATE 2025 delivered an incredible day of learning, inspiration and connection. From powerhouse speakers to real-world insights, our team came away motivated and equipped to finish the year strong. Hereโ€™s a look at some of the moments that made it special. Thinking about your next move? Discover what a career at Noel Jones could look like here

Market Update | June 2025 Edition

Australia’s inflation remains steady, with annual growth at 2.4% in April. Underlying inflation, which is the Reserve Bankโ€™s key indicator also sits comfortably within the 2โ€“3% target range, coming in at 2.8%. In response, the RBA reduced the cash rate by 0.25% in May, bringing it down to 3.85%. This marks the second cut this year, providing relief to mortgage

Meet Our June CSP Grant Recipient

Meet Our June CSP Grant Recipient Weโ€™re proud to announce Box Hill City Band as the recipient of our June Community Support Grant. This talented group of young musicians, Box Hill Academy Brass, has won the Australian National Band Championships two years in a row and is now preparing to represent Australia at the prestigious New Zealand Brass Band Championships

Meet Our May CSP Grant Recipient

Meet Our May CSP Grant Recipient Since launching the Noel Jones Community Support Program, weโ€™ve proudly contributed over $45,000 across 30 grants to local groups and initiatives. From schools and sports clubs to charities and community organisations, these grants have helped support education, health, and social impact programs throughout our neighbourhoods. Our May 2025 grant has been awarded to Chirnside

Send Us A Message

Good Job!

Thanks for taking the time to let me know about your needs.

I look forward to helping you find your new home.โ€‹

Buyer Requirements

Thank you!

Iโ€™ll be in touch soon with information on the suburb youโ€™re buying in.

Find Out More