I’ve been reading about the super withdrawal and COVID 19 crisis we are currently in. I’ve read that there are no checking systems in place at the moment and that people have been withdrawing their super without being directly affected by COVID19. We are a 1 household income with three kids. My husband has been thinking about withdrawing $10k out to catch up on debt that we’re behind on and get us back up to date with utilities and other bills. It’s not to spend, it’s genuinely to help us out. I’m not after any financial advice about how it may affect us when we go to retire, I just wanted to know if anyone else is thinking about doing the same thing, and if and what sort of consequences there may be if you get caught out. We’ve tried to withdraw it under compassionate grounds in the past but we haven’t been on a Centrelink payment for 26 fortnight’s so we were knocked back. We were at the point where we couldn’t buy fuel for our car and pay basic bills and we were knocked back. All because I lost my job (Of 8 years) while pregnant. We haven’t financially recovered from it and a year on, with a 6 month old baby and 2 older kids. This would genuinely help us so much.
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Financially, this crisis has been good for us. I haven’t worked in over a decade and I am withdrawing from mine (first $10k was paid today) so we can buy a new car without having to get finance. Hubby’s job hasn’t been affected by the Covid-19 so he can’t touch his. You can only withdraw if you are unemployed, lost your job during the crisis or if your income has dropped by 20%. If your hubby is working but his hours/income hasn’t been affected he won’t be able to withdraw. However if you aren’t working you can withdraw from yours.
I can withdraw from mine because I’m unemployed? Is that correct?
Yes. I submitted mine last Tuesday and received my payment today.
So you weren’t directly effected by COVID 19, you’re just unemployed and you withdrew cash? Sorry I’m just trying to make sure I am getting this right.
That’s correct. Hubby hasn’t been affected but because I am currently unemployed I was able to cash mine in. Spoke to an accountant and it is allowed.
Were you on Newstart?
What's involved in submitting, do you still need to make an appointment with centrelink?
Nope you apply through the ato website. If you have a MyGov account link the ato to it and apply online. It takes less than 5 minutes and they will notify you within 3 days if you are eligible.
I am now but wasn’t before Covid because hubby earned more than $48k. Now that they have raised the threshold to $79k I can claim it until they reduce it.
There’s a close to $13000 fine if you are caught out withdrawing falsely from your super account - it’s fraud. Apparently there will be audits conducted on superannuation withdrawals due to Covid-19 after the end of the financial year
My husband took his 10k out , but we were directly affected by covid 19..
My husband was made redundant and I don’t work. We both withdrew ours just to get ahead of small debts we had.
It has put us in a better financial position as he also got redundancy pay and long service pay.
It’s been nearly a month and he hasn’t been able to find a job as he’s mainly fifo. We are waiting for more fifo work to start back up.
I will be withdrawing again next financial year if needed.
Each to their own, if you need it take it. No one should be giving financial advise unless they know your situation 🤣
Her original question though says her husband doesn’t actually qualify under the covid rules but she’s heard there aren’t any checks currently in place - she’s wanting to know what would happen if they got caught out
Just because her partner is working doesn't mean she can't cash in some of her super if she isn't. You don't even need to be getting any government support to be able to access it. Even the long term unemployed single or partnered can access their super at this time.
Correct. Her question wasn’t about her withdrawing though it was about her husband
He won't be eligible, but if you are unemployed then you can withdraw yours.
There are currently no checks in place. I've just withdrawn from mine so I have a safety net incase my contract for work isn't extended when it expires in a few months and I can't find another job. It's your money, I know plenty of people who have done the same for what ever reason. If you need it, take it while you can.
We are thinking this exact same thing, and was reading up on it last night, no judgement here, it would put us in a better position also, would love to get on top of things and my husband has quite a good balance,
I’m following!
Good luck with it!!
I am still employed but hubby is self employed and we have felt the affects of COVID - 19.
He has withdrawn $10k and I’ve withdrawn $10k, even though I don’t receive Centrelink and I’m still full time employed .
I called 1300287539 which is a ATO hotline and asked if I was allowed to withdraw from mine as I have more money in mine.
They advised me that I was because I’m his wife and it’s based on family income not personal income. If you’re worried call the hotline and ask
The eligibility requirements are on the ato website. It’s quite broad. If you are unemployed then you can apply. It’s a 5 minute online application through the ATO in myGov. Just answer the questions honestly and you shouldn’t have a problem.
The eligibility requirements are on the ato website. It’s quite broad. If you are unemployed then you can apply. It’s a 5 minute online application through the ATO in myGov. Just answer the questions honestly and you shouldn’t have a problem.