Superannuation

What to do about Superannuation when you leave Australia ..

Non-residents may continue to make superannuation contributions in Australia; the rules regarding eligibility to make these contributions in Australia apply equally to residents and non-residents. Under recent changes announced by the Government you do not need to be working to contribute to superannuation if you are under age 65. When you are over 65 you can contribute to superannuation if you are gainfully employed during the financial year for at least 40 hours over a consecutive 30 day period.

Generally, it is viable and appropriate to make further contributions to Australian superannuation if your objective is to eventually retire in Australia, or if the taxation on Australian superannuation is more attractive than the country of residence. This is where taxing rights and double tax treaty arrangements may have a major impact.

Note, however, that some superannuation funds require that members be residents, therefore you may have to transfer to a public offer fund that provides for non-residents. If you have been transferred overseas by your employer then it is likely the fund will make provision for non-residents, with your employer continuing to make contributions - probably on the basis of your Australian "pensionable base" salary. In these situations, if you are in receipt of additional salary reflecting expatriate conditions, an issue may be whether it is appropriate for you to make additional retirement contributions and whether it should be into your Australian fund. Expatriates may be better served making contributions into an International Retirement fund or some other investment structure rather than simply continuing with their current, Australian arrangements.

Complete the Superannuation Inquiry form