The Federal Government recently released draft legislation to change the work test requirements for older Australians. The draft legislation proposes to increase the work test age from 65 to 67.
This will mean that, for example, a 66 year old will now be able to make a non-concessional contribution, or a personal deductible contribution, without the need to satisfy a work test.
Additionally, along with the removal of the work test for 65 & 66 year olds, the bring-forward age eligibility will be lifted as well (from 65 to 67).
While the legislation is now open for consultation, this presents greater strategic opportunity for advisers to:
- Continue to help clients boost retirement savings by contributing more to super
- Assist in managing personal tax obligations (via personal deductible contributions)
- Employ strategies such as withdrawal and re-contribution strategies
For more information, call us on 03 9886 0800 or email us at email@example.com.
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Disclaimer: The information contained is general in nature. Professional advice should be sought before acting on any aspect on this page.