Exploring compassionate early release of super
Even though superannuation is designed for retirement, there are limited circumstance where you can access super early on compassionate grounds.
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The ATO oversees applications for the compassionate release of superannuation. Specific situations that may qualify include:
- preventing foreclosure or forced sale of your home;
- medical treatment for you or your dependants;
- medical transport for you or your dependants;
- modifying your home or vehicle to accommodate special needs arising from severe disability;
- palliative care for terminal illness; and
- death, funeral or burial expenses for your dependants.
Generally, applications need to be for unpaid expenses and must be a single lump sum, not exceeding what’s reasonably required.
Before applying to the ATO, it’s crucial to contact your super fund. The fund can confirm if it will be able to release funds and advise on withholding obligations, fees and explain potential impacts on your insurance.
Remember, accessing your super early should be a last resort. It’s your future financial security at stake. However, when faced with genuine hardship, it’s reassuring to know that this option exists to help through difficult times.
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