Superannuation Discussion + market volatility

[Quickstatus]

Intention would be to recontribute immediately (the maximum benefit is limited by contribution caps and rules).

Against that withholding from the cap just exposes the remaining balance to taxation in the accumulation account.

I would have to spreadsheet the 2 to see whether there are significant differences.

 

[andye]

Against that withholding from the cap just exposes the remaining balance to taxation in the accumulation account.

I would have to spreadsheet the 2 to see whether there are significant differences.

Ah i see...I mIssed the stage of closing down pension and starting a new one

 

[Quickstatus]

Ah i see...I mIssed the stage of closing down pension and starting a new one

No not that but Withholding transfer up to the cap in order to benefit from indexation of the unused TBC. The income from the amount of withholding remain taxed while it sits in the accumulation account.

I'm not saying there is no benefit but only that it's worth a spreadsheet analysis to see the actual benefit.

 

[CaptJCool]

No not that but Withholding transfer up to the cap in order to benefit from indexation of the unused TBC. The income from the amount of withholding remain taxed while it sits in the accumulation account.

I'm not saying there is no benefit but only that it's worth a spreadsheet analysis to see the actual benefit.

earnings taxed at 15% in accumulation phase
Earnings taxed at 0% in pension phase