ATO scheme, Adelaide context
A federal ATO scheme that lets eligible first home buyers release eligible voluntary super contributions towards a first home deposit. It is not free money; it is your own voluntary contributions plus associated earnings, taxed at concessional rates rather than at your marginal rate.
Every item below is drawn from a primary source cited beside it. If the scheme or rule changes after this review date, the primary source is the version of truth.
Who administers
Australian Taxation Office (ATO)
The FHSSS is a federal scheme administered by the ATO. Applications and determinations go through the ATO, not through your super fund directly.
Type of contributions
Voluntary contributions (concessional + non-concessional)
Only voluntary contributions count. Compulsory employer contributions (SG) do not count towards your FHSSS releasable amount.
Release limit
Up to A$50,000 total contributions, plus associated earnings
The maximum eligible contributions that can be counted are A$15,000 in any one financial year and A$50,000 in total across all years, plus deemed earnings on those amounts calculated by the ATO.
Tax treatment
Withdrawal taxed at marginal rate minus 30% offset
When released, concessional contributions and earnings are taxed at your marginal rate minus a 30% tax offset. Non-concessional contributions are released tax-free. This structure is why FHSSS can outperform saving the same money outside super for many buyers.
Property type
Australian residential property
The scheme applies to purchasing or building an Australian residential premises (with certain exclusions such as houseboats). It is not restricted to new builds.
You must be 18 years old or older when you apply for the FHSSS release (contributions can be made before age 18, but the release request cannot).
You must not have previously owned real property in Australia. A hardship provision may apply in some cases.
You must not have previously requested an FHSSS release.
The home must be your principal place of residence (or intended to be). You must live in it for at least 6 of the first 12 months after it is practicable to move in.
You must satisfy the ATO residency requirements at the time of the release request.
Scenario
Stacking with the SA FHOG and federal First Home Guarantee
FHSSS is a separate scheme. Nothing about using FHSSS prevents you from also being eligible for the SA First Home Owner Grant or the federal First Home Guarantee. Each has its own eligibility.
Scenario
Timing your first home purchase
You must request the ATO determination and release before signing the purchase contract, or you may not qualify. Talk to your accountant or the ATO about the correct sequence of steps.
Scenario
If your circumstances change
If you receive an FHSSS release and do not sign a contract to buy or build within a specified window (with possible extension), penalties or additional tax may apply. Talk to your accountant.
Frequently asked
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