I’ve learn your columns about recontributing $330,000 utilizing the three-year carry ahead rule to spice up the non-taxable element of superannuation. My spouse, being the youthful accomplice, has most of our tremendous in her account. I obtain a part-age pension consequently. Nevertheless, if she withdrew funds to recontribute, wouldn’t that have an effect on my pension, though the funds could be quickly recontributed?

You might have 14 days to advise Centrelink of any materials modifications in your circumstances. On this case, in case your partner withdrew the cash (assuming she is eligible to take action) after which made the re-contribution inside a fortnight, your circumstances mustn’t have modified, and I can see no purpose why Centrelink would have any objection.

I’ve a Commonwealth pension which is a defined-benefit fund. I even have an Australian Tremendous fund with round $100,000 in it. I turned 70 this yr and have determined I can’t work any extra, and I’m making an attempt to work out what I ought to do with this cash. Do I go away it with Aussie Tremendous, which hasn’t completed properly over the previous two years and whose charges are consuming into the capital, or do I take the cash and put it into an offset account to assist with my mortgage of $125,000 as rates of interest rise? I’m reluctant to lock this cash into an interest-bearing account, simply in case I must entry it sooner or later.

Contemplating your age and the comparatively small sum of money concerned, I feel withdrawing the cash tax-free and placing it into an offset account is an efficient technique.

In case your mortgage rate of interest is 5 per cent, you’ll be receiving an efficient capital assured tax-free 5 per cent each year, plus the flexibility to entry the cash, if wanted. Moreover, there could be no charges.