Contribution splitting is the process of splitting your pre-tax superannuation contribution with your partner, so that part of your superannuation benefit for any given year is paid to their account instead of yours.
What are the benefits? Contribution splitting can be useful for boosting your partner’s low superannuation balance. If you are both planning on retiring before the age of 60, it may give you and your partner access to more funds, because you both get the advantage of the tax-free threshold between the ages of 55 and 59. It can also give you earlier access to the funds if your spouse is closer to retirement age than you.
You may only split pre-tax contributions made to accumulated superannuation funds. You cannot split contributions to defined benefit funds, nor can you split contributions made from your post-tax income.
Contribution splitting occurs after the financial year is complete. You must apply directly to the Australian Taxation Office (ATO) using this form.
(Please note that contribution splitting is different to spouse contributions, which are made from your post-tax income.)
This is a sponsored advertising promotion by First Super Pty Limited (ABN 42 053 498 472, AFSL 223988) as trustee of First Super (ABN 56 286 625 181). This publication may contain general advice which has been prepared without taking into account your objectives, financial situation or needs. You should consult the Product Disclosure Statement (PDS) firstsuper.com.au/pds before making any investment decision. Before making a decision to combine your superannuation, you should consider any costs, change to insurance cover or loss of benefits that may apply and, if necessary, consult a qualified financial adviser. Past returns are not a reliable indicator of future returns. Content was accurate at the date of issue in July 2020, but may subsequently change. Please contact First Super on 1300 360 988 for updated information or to obtain a copy of the PDS. No commissions or fees are paid to NZ Relo as part of this promotion, apart from advertising costs.