First Home Buyer Guide
Using super for a first home deposit
FHSS can help eligible buyers use voluntary super contributions towards a first home. It does not unlock your entire super balance. Check your fund’s release arrangements and the ATO rules before contributing.
Contribution limits and releasable amount
FHSS counts eligible contributions from 1 July 2017, limited to $15,000 per financial year and $50,000 overall per person. These are contribution-counting limits, not a guaranteed cash payment. Release calculations use 85% of eligible concessional contributions and 100% of eligible non-concessional contributions, plus ATO-calculated associated earnings. Ordinary super contribution caps still apply; compulsory employer contributions do not qualify.
Eligibility is individual
You must be at least 18 when requesting a determination and generally must never have held an Australian property interest. An ATO financial-hardship exception may apply. A completed earlier release generally prevents reuse; withdrawn, revoked or previously unsuccessful requests need separate checking. A co-buyer’s ownership history does not automatically disqualify you.
Determination, release and contract timing
Request an ATO determination before property ownership transfers to you, including ownership of vacant land. Then request release. For determinations from 15 September 2024, the contract window generally runs from 90 days before the release request until 12 months after it. An ATO extension may allow another 12 months. Notify the ATO within 90 days of signing. Older determinations have different deadlines.
Tax and the amount you receive
Use the payment summary’s assessable amount in the tax year you request release, which can differ from the year you receive the money. A 30% tax offset applies to that assessable amount. Withholding uses your estimated marginal rate including Medicare levy, less 30 percentage points, or 17% if the ATO cannot estimate it. Commonwealth debts can reduce the payment. Ask your tax adviser about your outcome.
Living in the home and changing plans
You must intend to live in the home as soon as practicable and for at least 6 of the first 12 months it is practicable to occupy. If you do not proceed, check the ATO’s recontribution and notification deadlines promptly. Keeping funds without satisfying the rules can trigger additional FHSS tax.
Frequently asked questions
Can two buyers use FHSS?
Each eligible person applies individually. The amount each receives depends on contribution types, associated earnings and tax, so $100,000 is not a guaranteed combined deposit.
When should I request release?
Leave time for both your fund and the ATO to process it. Confirm current processing times before relying on the money for a contract deposit or settlement.
Can I use other first-home programs too?
Check eligibility for each program independently. FHSS, state grants and lender guarantees have different conditions; one approval does not establish another.
Does the whole release go into my tax return?
Follow the assessable amount and withholding on the ATO payment summary. Do not treat all released after-tax contributions as assessable income.