Reasonable Benefit Limits (RBL)

Since 1 July 1995, the $400,000 lump sum limit is indexed each year in accordance with movements in the average weekly ordinary time earnings

The pension RBL will be applied to the payment of a benefit where at least 50% of the benefit plus any benefits taken previously are taken in the form of a pension or annuity.

RBL of previous years are as follows :-

Taxation of lump sum death benefits

In case of your death any money in your super fund will be paid out by the trustees as per the trust deed and with regard to your nominations

A dependant for tax purposes includes a spouse and children aged under 18 years. For SIS purposes dependant includes children of any age. Some special rules apply for interdependence for same sex couples

* Financial hardship
Applications must be made to the trustee of the fund holding the superannuation money. Generally the applicant must show that they have received welfare benefits (Centrelink unemployment or Newstart benefits) for a fixed period and that they are unable to meet their day-to-day living expenses.

Superannuation monies will only be released to cover a person's everyday living expenses and the release is limited to one payout of no more than $10,000 during a 12 month period.

** Compassionate grounds
Applications must be made to the Australian Prudential Regulation Authority. Superannuation monies can be released to pay for medical treatment and associated transport requirements, home or motor vehicle modifications to cater for those with severe disabilities, palliative or associated expenses or for the purpose of making mortgage repayments, where foreclosure is threatened by the mortgagor.