Disclaimer
The information on this page about the First Home Super Saver (FHSS) scheme is for general information only. It is not tax, financial, or super advice. Rules and limits can change, and the information here may not be correct or up to date. Always check the official ATO website or speak to a qualified professional before taking any action. We are not responsible for any loss or consequences from using this information.
Always visit the ATO website for updated information – Click here
First Home Super Saver (FHSS) Scheme
1. Make Voluntary Contributions
You can make concessional (before-tax) contributions through salary sacrifice or non-concessional (after-tax) contributions on top of your employer’s super. You can contribute up to $15,000 per year with a maximum of $50,000 available for release
2. Tax Advantages
Before-tax contributions are taxed at 15 percent usually lower than your marginal tax rate After-tax contributions can be used but the main benefit comes from tax savings on before-tax contributions Your savings can grow faster than saving from take-home pay
3. Withdraw When Ready to Buy
Apply to the ATO not your super fund to release your voluntary contributions.
4. Eligibility
- You must be 18 or older,
- never owned property in Australia,
- intend to live in the property and occupy it for at least 6 months within the first 12 months
How to setup
Visit the ATO website to review and fully understand all the FHSS Scheme requirements, making sure it suits your situation, and consider seeking independent financial advice if needed.
- Log in to your super fund (or contact them).
- Setup the voluntary contribution:
- Concessional (before-tax / salary sacrifice), or
- Non-concessional (after-tax).
- Specify FHSS eligibility if your fund asks.
- Track contributions in myGov → ATO → Super → Manage FHSS to ensure they stay within the $15,000 per year and $50,000 total limits.
- When ready to buy, apply to the ATO for a FHSS Determination and then submit a FHSS Release Request.
Important
Apply to the ATO before signing a contract If you don’t buy within 12 months you can re-contribute the funds or pay extra tax
Process for getting your funds released
Here’s the step-by-step process for getting your funds released under the First Home Super Saver (FHSS) Scheme so you can use them to buy your property:
Note- The ATO rules explicitly state that you must apply for the release of FHSS funds before signing a contract to buy or build your home.
Check your balance and contributions
- Before you apply, log into myGov → ATO → Super → Manage FHSS to check how much you’ve contributed that’s eligible under the scheme.
- This ensures you don’t exceed the limits and that your contributions are correctly recorded by your fund.
Apply to the ATO for a FHSS Determination
- Go to your myGov account → ATO services → FHSS Scheme → Request a Determination.
- The ATO calculates how much you can withdraw (your voluntary contributions + deemed earnings).
- The determination shows the maximum releasable amount — but no funds are released yet
Apply to release your FHSS funds
- Once you’re ready to buy (or about to sign a contract), submit an application through myGov to request the release of your funds.
- This is called the FHSS Release Request.
- You must do this before signing a contract to purchase or build a home.
Wait for ATO processing
The ATO will:
- Verify your request
- Contact your super fund(s)
- Arrange for the funds to be released to the ATO
- Withhold applicable tax (to align with your marginal rate minus 30%)
- Then deposit the remaining balance into your nominated bank account
Processing usually takes 15–25 business days, depending on your super fund.ALways check with ATO on this.
Purchase your property
- After receiving your FHSS funds, you can sign the contract to purchase or build your home.
- You must notify the ATO within 28 days of signing the contract.
If you don’t buy within 12 months
- If you haven’t bought or built a home within 12 months of receiving your funds:
- You can apply for a 12-month extension, or
- Re-contribute the released amount back into super, or
- Pay additional tax (FHSS tax) on the amount withdrawn.
Using FHSS funds for personal use
- You cannot use FHSS funds for personal expenses like holidays, cars, or general savings.
- The law strictly requires that the money is used only to purchase or build your first home.
- If you withdraw the money but don’t use it for a home, you will be subject to extra tax unless you re-contribute it into super.
Key points:
- You cannot use it for personal spending.
- You must act within 12 months of receiving the funds (or apply for an extension).
- Re-contributing keeps your money in super and avoids extra taxes.
