Woman spills secret on how to unlock $500 in superannuation
- Replies 9
In a world where every penny counts, especially for those who are looking towards retirement or are already enjoying their golden years, a woman has brought to light a government initiative that could boost your superannuation by up to $500 annually.
This revelation has caught the attention of many Australians who are eager to make the most of their savings.
A woman with the username @youthforce.au on social media has an account that focuses on sharing job opportunities and resources for Aussies.
Recently, her video went viral after highlighting the government’s Super Co-contribution Scheme, a program designed to help low to middle-income earners grow their retirement savings.
‘Why is no one talking about how the government is basically giving away $500 cash for free?’ she said.
‘If you have a taxable income beneath $42,000 and you’re able to make a $1000 after-tax contribution to your super, the government will basically chip in another $500 just for contributing to your super,’ she explained.
In compliance with Australian Securities & Investments Commission (ASIC) regulations, the account clarified in the caption that the video is not intended as financial advice.
To be eligible for the government scheme she mentioned, an individual must be under 71 years old and earn less than the income threshold of $43,445 for the 2023-24 financial year.
Eligible Aussies can then make a voluntary after-tax contribution of $1,000 to their superannuation fund. In return, the government will contribute 50 cents for every dollar you put in, up to a maximum of $500.
The scheme presents a valuable opportunity for individuals who can afford to invest extra money, as it essentially adds to their retirement savings.
The Australian Taxation Office (ATO) has a co-contribution calculator available on its website, allowing you to determine exactly how much you could receive based on your income and contributions.
While the video has inspired many, it has also sparked debate.
Some viewers have pointed out that the scheme could be a useful saving strategy for first homeowners, as the government allows individuals to withdraw super contributions for their first home under the First Home Super Saver Scheme.
However, not everyone is on board with the idea.
Some commenters have expressed that every dollar is crucial for day-to-day living, and the thought of putting extra money into superannuation is not feasible.
Comments such as 'If I’m earning under 43k, I’m not giving extra money to my super, I’d be busy trying to survive.’
‘I have $6 total. Why didn’t you start by saying I already need $1,000?’ another quipped.
A third person said: ‘If you're on such a low income, your super fees will eat all that up.’
As with any financial decision, it's crucial to consider your personal circumstances and perhaps seek professional advice before making voluntary contributions to your super.
You can watch her video here:
Source: @youthforce.au/TikTok
What do you think about this government scheme, members? Share your thoughts in the comments below.
This revelation has caught the attention of many Australians who are eager to make the most of their savings.
A woman with the username @youthforce.au on social media has an account that focuses on sharing job opportunities and resources for Aussies.
Recently, her video went viral after highlighting the government’s Super Co-contribution Scheme, a program designed to help low to middle-income earners grow their retirement savings.
A woman on social media shared a way to claim $500 in superannuation. Image source: Shutterstock
‘Why is no one talking about how the government is basically giving away $500 cash for free?’ she said.
‘If you have a taxable income beneath $42,000 and you’re able to make a $1000 after-tax contribution to your super, the government will basically chip in another $500 just for contributing to your super,’ she explained.
In compliance with Australian Securities & Investments Commission (ASIC) regulations, the account clarified in the caption that the video is not intended as financial advice.
To be eligible for the government scheme she mentioned, an individual must be under 71 years old and earn less than the income threshold of $43,445 for the 2023-24 financial year.
Eligible Aussies can then make a voluntary after-tax contribution of $1,000 to their superannuation fund. In return, the government will contribute 50 cents for every dollar you put in, up to a maximum of $500.
The scheme presents a valuable opportunity for individuals who can afford to invest extra money, as it essentially adds to their retirement savings.
The Australian Taxation Office (ATO) has a co-contribution calculator available on its website, allowing you to determine exactly how much you could receive based on your income and contributions.
While the video has inspired many, it has also sparked debate.
Some viewers have pointed out that the scheme could be a useful saving strategy for first homeowners, as the government allows individuals to withdraw super contributions for their first home under the First Home Super Saver Scheme.
However, not everyone is on board with the idea.
Some commenters have expressed that every dollar is crucial for day-to-day living, and the thought of putting extra money into superannuation is not feasible.
Comments such as 'If I’m earning under 43k, I’m not giving extra money to my super, I’d be busy trying to survive.’
‘I have $6 total. Why didn’t you start by saying I already need $1,000?’ another quipped.
A third person said: ‘If you're on such a low income, your super fees will eat all that up.’
As with any financial decision, it's crucial to consider your personal circumstances and perhaps seek professional advice before making voluntary contributions to your super.
You can watch her video here:
Source: @youthforce.au/TikTok
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