An aging population will drive policy decisions. New forecasts from the Australian Bureau of Statistics (ABS) highlight how quickly our population will age, and investors need to prepare now for the enormous changes that it will bring.
Read MoreOne of the most significant features of account-based pensions is the ability to commute the pension, whether in full (also known as a 100% commutation) or in part (a partial commutation ie. less than 100%).
Generally pensions cannot be commenced if the initial pension account balance is greater than $1.9m (the current transfer balance cap which applies from 1 July 2023).
When a member of a superannuation fund passes away, any benefit they have within superannuation must be cashed as soon as practicable.
Read MoreA very interesting (and surprising) Private Binding Ruling has been recently released by the ATO (reference details at the foot of the article). In short, because a trustee (of a self-managed superannuation fund) took over 28 weeks to pay a commutation lump sum, the benefit was considered to be a death benefit and not a member benefit.
Read MoreOften individuals and couples, once they are retired and receiving the age pension, will want to downsize their home to more suitable accommodation. If the individual or couple own their own home, the home is excluded from the age pension assets test, irrespective of the value of the home. But what happens to their age pension if they sell their current home to buy another home?
Read MoreNow that the end of the 2022/23 financial year is almost here, superannuation members who are currently receiving pensions need to take certain actions.
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