Your superannuation account is a defined accumulation scheme for the sole purpose of funding an individual's retirement. Funds remain invested within the entity of a superannuation plan which has conditions as to when funds can be released. As a rule of thumb, superannuation can be accessed by the time an individual turns 65. There is an incentive to structure funds inside super for retirement as an individual is allowed to have $1.9 million in an ‘Account Based Pension” where there is zero Capital Gains tax applied to investments and zero tax upon earnings. The tradeoff is that funds invested in an ABP must draw a minimum pension payment on a yearly basis. When considering a retirement plan and establishing an ABP, it is important to explore the methods of contributing to a superannuation account via Concessional and Non-Concessional Contributions. Click on the picture below to download the PDF of the case study.
Retirement Planning Quarantining Components
