Did you get a letter recently from your super fund about protecting your super?
In February 2019, changes proposed in the 2018 budget became law, and if action isn’t taken then inactive superannuation accounts could lose their insurance. The changes are due to commence from 1 July 2019, however there are steps you may need to take now to ensure the best outcome for you.
Protecting your super reforms coming into effect 1 July 2019
These reforms are designed to protect Australians’ retirement savings by ensuring their super isn’t unnecessarily eroded by fees and premiums on insurance policies they may not need.
If you are to be impacted by these changes you should have received a letter from your super fund which we encourage you not to ignore, or if you think this may impact you please contact your super fund to check.
Why is it important?
Jordan George is an industry leading speaker for the SMSF Association, and holds the title ‘Head of Policy’.
2018 was a tumultuous year for SMSFs with volatile investment markets and an even more volatile political environment giving SMSFs plenty to think about. However, as we move into the festive season, this is the ideal time to review your SMSF plan and consider what awaits in 2019. Taking some time to review and plan can help ensure your SMSF is on track to achieve your superannuation goals.
The key issue that will occupy the mind of most SMSF trustees is the imminent 2019 Federal election, expected in May, and the possible change to a Labor Government. We already know that the Australian Labor Party has announced significant policies impacting SMSFs.
The most substantial planned policy change is Labor’s proposal to end the refundability of franking credits. SMSFs that receive franking credits for the tax paid by Australian companies will often receive a refund of the tax paid at the corporate level.
Update: Applications for the Queensland Government Energy Efficient Appliance Rebate are now open. To apply, go to www.qld.gov.au/appliancerebate.
Although purchasing appliances that are more energy efficient can have a higher upfront cost, they can lead to long term saving because of the amount of money you will save on your electricity bill yearly.
Choosing an energy efficient fridge or washing machine can save Queensland households up to $50 a year, and energy efficient air conditioners could save up to $135 per year. $20 million has been committed under the Affordable Energy Plan for rebates on approved energy efficient appliances, in order to assist Queensland households to improve their energy efficiency.
What are the rebates available?
Rebates will apply to purchases on or after 1 January 2018 of the following household appliances:
- $200 for a 4 star energy rated washing machine
- $250 for a 4 star energy rated refrigerator
- $300 for a 4 star energy rated air conditioner.