Guide to Withdrawing Your FHSSS Contributions

The First Home Super Saver Scheme (FHSSS) is an initiative by the Australian Government designed to help first-time home buyers save for a deposit by allowing them to make voluntary contributions to their superannuation fund. If you’re considering withdrawing your contributions under this scheme, it’s essential to understand the process and requirements involved. Here’s a detailed guide on how to withdraw your FHSSS contributions.
Understanding the FHSSS
The FHSSS allows eligible individuals to save for their first home deposit within their superannuation account. You can make both concessional (before-tax) and non-concessional (after-tax) contributions, with specific limits on how much you can withdraw:
- Annual Limit: You can withdraw up to $15,000 of your voluntary contributions made in any one financial year.
- Total Limit: The maximum amount you can withdraw across multiple years is $50,000, plus any associated earnings.
Steps to Withdraw Your FHSSS Contributions
- Ensure Eligibility: Before you can withdraw your contributions, you must meet the eligibility criteria for the FHSSS. This includes being a first-time home buyer and having made eligible voluntary contributions to your super fund since July 1, 2017.
- Apply for an FHSS Determination:
- You need to apply for an FHSS determination through the Australian Taxation Office (ATO). This can be done online via your myGov account.
- During the application, you will need to provide details about your eligible contributions and may need to submit super statements or transaction lists to confirm them.
- Receive Your Determination: After processing your application, the ATO will issue a determination letter that specifies the amount you are eligible to withdraw. This letter is crucial as it confirms your entitlement to access your super funds under the FHSSS.
- Request the Release of Funds: Once you have your determination, you can request the release of your FHSSS amounts. This request can also be made through your myGov account. You will need to provide the determination letter and any additional information required by your super fund.
- Use the Funds for Your First Home: After your request is approved, the funds will be released to you. It’s important to note that you must sign a contract to purchase or construct your home within 12 months of receiving the funds. If you do not proceed with the purchase within this timeframe, you may need to re-contribute the amount back to your super fund.

Important Considerations
- Tax Implications: Withdrawals under the FHSSS are not considered part of your taxable income in the year you request the withdrawal. However, the contributions you made may have tax implications based on whether they were concessional or non-concessional.
- Limits on Contributions: Remember that you can only withdraw your own eligible voluntary contributions. Contributions made by others, such as your employer or spouse, do not count towards your FHSSS withdrawal.
- Future Contributions: Once you withdraw your FHSSS amount, you can only access your super funds under this scheme once. If you didn’t withdraw the maximum amount the first time, you won’t have another opportunity to do so.
Conclusion
Withdrawing your FHSSS contributions can be a significant step towards purchasing your first home. By following the outlined steps and ensuring you meet all eligibility requirements, you can effectively utilize your superannuation savings to help secure your dream home. Always consider consulting with a financial advisor to understand the implications of your withdrawal and to ensure you are making the best financial decisions for your future.