First Home Buyers Super Saving Scheme
This is a relatively new scheme that is designed to be a helping hand for first home buyers. As you know buying your first home is one of the most exciting and overwhelming first financial steps that you will ever take. The First Home Super Saver Scheme is a new incentive designed to help first home buyers save up to 30% faster through voluntary super contributions.
But is it really that Super? Will it work form me? Will it really help you save a deposit? These are just some of the questions that we encounter. In short yes it can! Simply put the, The First Home Super Saving Scheme can assist but it is a longer-term strategy that requires 2 years commitment. Many people don’t want to wait that long.
So, let’s have a look at a ‘real life example’ on how First home Buyers could get an extra $4,949 by using the scheme.
A couple decide they want to save about $20,000 for their deposit, and their timeframe is about 2 years. They are going to save the traditional way by saving their after tax income in a bank account. They decide to save $400 per fortnight for 2 years and at the end they have $20,800 saved.
But if they are genuine about saving for a deposit, and have the same savings goal, they could choose to use the FHSSS, and make voluntary contributions of $400 per fortnight, at the end of the 2 years they will be able to withdraw $25,749!
Let’s put that in real terms. The couple who chose the traditional method can withdraw $20,800, the couple who use the FHSSS can withdraw $25,749.
What a great way to Supercharge your deposit and purchase your first home sooner.
Even better – this does NOT prevent you from receiving the First Home Buyers Grant, or any other stamp duty concessions that may be available.
Warning: This content is not designed to replace professional advice. It has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the advice, in light of your own objectives, financial situation or needs before making any decision as to whether this scheme is appropriate for you.