Cbus and the Media Super division welcome the announcement of the federal government’s visionary National Housing Accord in the October 2022 Federal budget.
“The Accord is a great leap forward for the provision of social and affordable housing in Australia,” Cbus and Media Super CEO Justin Arter said.
“We have long been an advocate for increased investor participation in social and affordable housing.”
“We are proud to have advocated for the National Housing Finance and Investment Corporation (NHFIC) housing bond aggregator to be able to fund the construction of new builds and we have been an active participant in many bond issuances since early 2019. As a responsible investor we are proud to have been there from the early days playing a part in this sector.
“The Accord has the potential to super charge this work, provide attractive returns for our members and address the affordable housing gap.
“We applaud the move to bring together governments, industry groups and investor funds like ours so that we are working in a coordinated way in an area of national importance.”
The ability to gain access to greater investment opportunities was a major factor in the decision for Media Super to merge with Cbus earlier in 2022.
Cbus’ involvement in the NHFIC means it has the expertise and resources to benefit from any investment opportunities the National Housing Accord may present. This strong position will play a vital role towards our mission to deliver better retirement outcomes for Cbus and Media Super members.
Another budget announcement of note is the expansion of the eligibility for downsizer contributions. The Government will allow more people to make downsizer contributions to their superannuation, by reducing the minimum eligibility age from 60 to 55 years of age.
A downsizer contribution allows members to contribute up to $300,000 as an individual or $600,000 as a couple from the sale of their home.
The proposed changes to downsize contributions will come into effect from 1 July 2023, after Royal Assent of the enabling legislation.
The Government also announced a number of other initiatives to incentives Pensioners to Downsize. These include:
- extending the assets test exemption for principal home sale proceeds from 12 months to 24 months for income support recipients
- changing the income test, to apply only the lower deeming rate (0.25 per cent) to principal home sale proceeds when calculating deemed income for 24 months after the sale of the principal home.
You can find more highlights from the 2022/23 Federal Budget (October) by downloading our Media Super Fact Sheet.
For more information about the 202 Media Super visit mediasuper.com.au or call 1800 640 886
This information is about Media Super and doesn’t take into account your specific needs. You should look at your own financial position, objectives and requirements before making any financial decisions. Read the relevant Product Disclosure Statement to decide if Media Super is right for you. Call 1800 640 886 or visit mediasuper.com.au for a copy. Also read the relevant Target Market Determination at mediasuper.com.au/tmd. Issued by United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 as Trustee for Cbus Super Fund ABN 75 493 363 262 offering Cbus and Media Super products.