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Super Newsletter
Downsizer Contributions: What the Latest ATO Data Reveals The Australian Taxation Office (ATO) has released updated statistics on downsizer contributions, showing how Australians are using this strategy to boost their retirement savings. Since its introduction in July 2018, the scheme has allowed eligible individuals to contribute up to $300,000 from the sale of their home into superannuation, without impacting their non-concessional contribution caps.
Key Trends Over Seven Years Strong Uptake Since Launch: In 2018–19, 6,500 individuals contributed $1.56 billion. By 2021–22, participation peaked at 19,700 individuals contributing $5.06 billion. Recent Years Show Stability: Contributions have remained steady: - 2022–23: 15,900 individuals, $4.24 billion - 2023–24: 16,900 individuals, $4.49 billion - 2024–25: 15,800 individuals, $4.17 billion (data still being finalised) Total Impact: Since inception, over 98,500 Australians have contributed $25.3 billion to super via downsizer contributions.
Eligibility Requirements To make a downsizer contribution, you must: Be aged 55 or older at the time of contribution (age reduced from 65 to 60 in July 2022, and to 55 from January 2023). Have owned the home for at least 10 years prior to sale. The home must be in Australia and eligible for the main residence exemption under CGT rules. Make the contribution within 90 days of settlement. Submit the ATO Downsizer Contribution Form to your super fund before or at the time of contribution. You can only use this measure once, and the contribution does not count towards your nonconcessional cap.
Why This Matters Downsizer contributions remain a powerful tool for: Boosting retirement savings without breaching contribution caps.