Maximising retirement savings: Key superannuation strategies for 2025

For many Australians over 60, the family home represents a significant portion of their wealth. However, unlocking that value to enhance retirement savings requires careful planning and a strategic approach.

With new superannuation rules and increased contribution limits, 2025 presents a valuable opportunity to maximise savings and establish a tax-free income stream in retirement.

How to contribute up to $1.32 million into your superannuation in 2025

Recent changes to superannuation regulations allow eligible individuals to boost their super savings significantly through the following strategies:

• Downsizer contribution: Individuals aged 55 and over can contribute $300,000 per person ($600,000 per couple) directly into their super from the proceeds of selling their home.
• Non-concessional contribution: With the annual cap increasing to $120,000 (previously $110,000), individuals can contribute up to $360,000 using the bring-forward rule.

When combined, these strategies enable contributions of up to $1.32 million, creating a substantial foundation for a tax-free retirement income.

Eligibility for the downsizer contribution

To take advantage of the downsizer contribution, individuals must meet the following criteria:

• Be aged 55 or older
• Have owned the property for at least 10 years
• The property must qualify for a Capital Gains Tax (CGT) exemption

A downsizer contribution can boost your super, but navigating rules like the transfer balance cap and contribution limits requires careful planning.

General Advice Warning: The information provided in this article is general in nature and does not take into account your personal financial situation, objectives, or needs. It is not intended to be financial advice. Before making any decisions based on this information, you should consult with a licensed financial adviser to ensure that it is appropriate for your individual circumstances.