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With a new financial year underway, a raft of previously announced legislative changes are now in place. Our Advice Strategy Expert, Iby Ibrahim, explains the ins-and-outs of these changes, and if they apply to you.

Minimum drawdowns

Who’s it for: Anyone with a retirement income stream

Minimum drawdowns have now increased to previous rates, after being temporarily cut by 50% in 2019. If you’re retired and have chosen to draw down the minimum amount from your super account, your regular payments will increase. Make sure you check your payment amount and talk to your planner if you’re not sure how to use this extra cash, or if you’re struggling with cost-of-living pressures. We can look at how this will impact how long your money will last at your next appointment.

If you've nominated a specific drawdown amount, you should check it meets the rules around minimum payments. If not make sure you get this updated, otherwise you’ll receive a lump sum payment at the end of the year.

Transfer balance cap

Who’s it for: Anyone with a super balance above $1.7 million, or a retirement income stream

It’s good news if you’ve got a large super balance and are looking to retire soon – the cap will go up $200,000 to $1.9 million. This means that you may be able to transfer more of your super to a retirement income stream without paying tax. If you’ve already got a retirement income stream, the details of what might apply to you here are a little complex, so make sure you chat to your planner at your next appointment.

Bring forward thresholds

Who’s it for: Anyone still making super contributions

With the indexation in the total super balance, those with higher super balances (between $1.48 - $1.9 million) may be able to now put more in their super as non-concessional (after-tax) contributions. In simple terms, this means that those with higher super balances (between $1.48 - $1.9 million) may be able to put more in their super. While there’s a limit on how much you may be able to add each year, you can potentially take advantage of this rule to ‘bring forward’ some of your limit from future years to increase how much you can put in now. If you’re looking to make a large contribution (maybe from an inheritance, or property sale), this should help. If you are 75 years or older, you are unable to make personal contributions to super. If you’re turning 75 this financial year you may want to make a contribution as this will be your last chance.

There can be significant consequences if you get this wrong, so you should talk to your financial planner before making any contributions. They can talk you through your options to help you make a more informed decision.

NSW stamp duty thesholds have changed

Who it’s for: Anyone looking to buy their first home in NSW

First home buyers purchasing a property between $650,000 - $800,000 are now exempt from paying stamp duty. Stamp duty concessions are also available for properties between $800,000 - $1 million.

First home buyers will need to live in the home for 12 months to qualify, up from 6 months previously.

Victorian land tax surcharge

Who’s it for: Anyone who owns an investment property in Victoria

From 1 January 2024, if you have taxable landholdings above $50,000, a temporary land tax surcharge will be payable (in addition to existing land tax). If your landholdings are over $300,000, you’ll also pay an increased land tax rate. The good news is that properties currently exempt from land tax – like your family home – remain exempt.

New financial year check list

Who’s it for: Everyone!

The start of a new financial year is the perfect time to review your accounts and policies to make sure you’re getting the best rates and maximising the benefits. Here’s a few things you could consider:

  • Reviewing your savings accounts – while increasing interest rates may be stressful for mortgage holders, it’s good news for savers. Make sure your account is offering the best savings rate to suit your needs, and take a look at the T&Cs to make sure you’re across any actions you might need to take (such as regular deposits or similar) to access higher rates.
  • Updating Centrelink – Most people remember to update their bank account or financial assets with Centrelink, but when was the last time you updated your non-financial assets (like cars, caravans or boats)? If the value of your non-financial assets has depreciated make sure you let Centrelink know, as it may affect your entitlements.
  • Claim for franking credits - If you are no longer required to lodge a tax return but own shares (or managed funds) that pay franked dividends, you may be able to claim back the imputation credit, or tax credits. This may happen automatically for you – if not, you’ll need to lodge a claim. For the most recent financial year, you can do this online or via phone. Claims for previous financial years need to be lodged via post. The ATO website has more information on how to do this.

Taking advantage of these changes

It's not always obvious how you can benefit personally from the changes, or what effect that may have on your investment strategy. If you want to discuss what is right for you, chat with your planner at your next financial review. Alternatively, if you haven't booked in your review appointment, call us on 1800 620 305.


This is general information only and does not take into account your specific objectives, financial situation or needs. Seek professional financial advice, consider your own circumstances and read our Financial Services Guide, any relevant product disclosure statement & Target Market Determination, before making a decision. Call us or visit our website for a copy.

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