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First Home Super Saver Scheme

The First Home Super Saver scheme encourages first home buyers by enabling them to use their super funds to to save for a house deposit.

FHSS – Basics

Under the scheme, super contributions made from 1 July 2017 may be withdrawn any time from 1 July 2018 for a first home deposit.

Both members of a couple can take advantage of the concession.

First home buyers can salary sacrifice contributions into their superannuation fund up to a total limit of $50,000 from 1 July 2022. (When the scheme started, initially the limit was $30,000).

Concessional contributions and earnings withdrawn will be taxed at marginal rates less a 30% offset.

FHSS Contribution Limit Increase To $50,000 (from $30,000)

The contribution limit under the First Home Super Saver scheme is $50,000 with effect from 1 July 2022.

See Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Bill 2021.

Press release here.

Both members of a couple can combine savings for a single deposit to buy their first home together.

Allowable FHSS Contributions

The FHSS Scheme applies to the concessional and non-concessional contributions that an individual voluntarily makes through either personal contributions or through salary sacrificing arrangements, provided that those contributions are made within the existing contribution caps.

The Scheme uses the standard release authority rules in Division 131 (applying from 1 July 2018) of the Taxation Administration Act 1953  to facilitate the release of amounts from superannuation.

[Update: April 2019] Amendments to the scheme have been approved by parliament to take effect from 1 July 2019. They include:

  • The FHSS scheme is limited to first homes bought within Australia only.
  • You no longer have to wait to sign a contract until the first FHSS amount is released. A determination must still have been received.
  • The 12 month period for action now dates from the date of the request for release (previously it was the date of release).

Determination & Requesting Release

The 4 step process for obtaining a superannuation release when buying a property are set out in the Tax Office article here:

Further information

This page was last modified 2024-09-18