Strengthen your retirement - downsizing done right

What is a downsizer contribution? 

A downsizer contribution allows you to contribute up to $300,000 from the sale of your principal home into super. Couples may contribute up to $300,000 each, meaning up to $600,000 combined. Eligible conditions apply.  

Why choose to make a downsizer contribution? 

• Boost your super in a tax-effective environment – from age 60, investment earnings are generally tax-free and your income stream payments are tax-free 
• Invest your downsizer super contribution in one or more CSCri investment options. 
• Take advantage of your additional downsizer contribution for travel, health care or everyday living. 

By contributing some of the proceeds from the sale of your home into super, you may be able to keep more of your money working for you over time.

Who is eligible to make a downsizer contribution? 

You may be eligible if all of the following apply: 

• You’re 55 or older when you make the contribution – there is no upper age limit. 
• The contribution comes from the sale of your main residence. 
• The property is a permanent residential dwelling (not a caravan or houseboat) located in Australia. 
• You and/or your spouse owned the property for at least 10 years before the sale. 
• The home qualified for a capital gains tax main residence exemption. 
• You make the contribution within 90 days of receiving the sale proceeds however you may apply to the ATO for an extension.  
• You provide CSC with the Downsizer contribution into super form before, or at the time you make your contribution. 
• You have not previously made a downsizer contribution. 

How much can you contribute? 

• You can make a downsizer contribution up to $300,000 
• An eligible spouse can also make a downsizer contribution, even if they weren’t listed on the property title. 
• For couples, each eligible spouse can contribute up to $300,000 into their own super account(s). 
• The amount contributed cannot exceed the total sale price of the property. 

You can only make one downsizer contribution in your lifetime, so it’s worth planning carefully.  

How to make a downsizer contribution to your CSCri account 

1. Let us know before you get started

   To support you through the process: 
   
   Book an appointment with a CSC Super and Retirement Specialist at no extra cost, or 
   Phone: CSCri on 1300 736 096
   
   Then, once you’ve sold your home and checked your eligibility: 

2. Complete the Downsizer contribution into super form

   This form must be completed and returned before, or at the time of making the contribution. 
   Downsizer contribution into super form

3. Arrange for your CSCri account to be restarted

   While you can’t contribute directly to your existing income stream account, you can restart your CSCri account to combine your current CSCri balance with your downsizer contribution.

4. Make your contribution within 90 days

   Your contribution needs to be received within 90 days of you receiving the sale proceeds (unless you’ve received an extension from the ATO). 

Important things to know 

• Selling your principal home and moving assets into super can affect your Government Age Pension. For more information about Government Age Pension income and asset limits, visit Services Australia 
• Downsizer contributions do not count towards contributions caps (concessional or non-concessional). 
• Your Total Super Balance (TSB) limit does not restrict you making a downsizer contribution, but it will count towards your TSB when it is next recalculated on 30 June. This may affect your future eligibility under some superannuation rules and entitlements. 
• Downsizer contributions cannot be made via BPAY. 
• If the ATO advises that you’re not eligible, or if the downsizer contribution form is received after the contribution, we’ll assess whether the contribution can be treated as a personal contribution. 
• If accepted as a personal contribution, it will count toward your non concessional contribution cap. 
• If it can’t be accepted, the contribution will be returned to you. 

Depending on your situation and your retirement goals, making a downsizer contribution may be right for you. 

Thinking about downsizing? 

If you're considering selling your home and contributing to super, a CSC Super and Retirement Specialist can provide general information about how downsizer contributions work and how they may affect your retirement income. Book an appointment today. 

For more information, refer the ATO website Downsizer super contributions.