As our country is changing rapidly at the moment we endeavour to bring you timely and relevant information with you and your business in mind.
Over the weekend, there were two new initiatives released by the Federal Government that could impact you.
The first of these was a reduction in the Minimum pension required to be drawn down in the 2019-20 financial year and the next financial year 2020-21. Effectively, retirees will be able to keep more of their superannuation nest egg rather than be forced to sell shares into a falling market.
Draw-down rates halved for Account based Superannuation Pensions
Draw-down rates for account based superannuation pensions are normally 4% per annum for people under 65 and then increase as pension recipients age increases. These rates have been halved for the 2020 financial year and the 2021 financial year to 2% for those people aged 64 or under and 2.5% for those between 65 and 74 years old. This means that those who have already drawn over the required minimum would be able to stop payments for the remainder of this financial year. It should be noted however that if you have already drawn over the minimum allowed, you will not be able to put funds back.
Access $10,000 superannuation payment this financial year 2020
In a second initiative, those suffering financial hardship due to the Coronavirus pandemic will be able to access a $10,000 Coronavirus superannuation payment this financial year 2020, and another $10,000 next financial year after 1 July 2020. The payments are expected to be available from mid-April 2020 and will be able to be applied for online via myGov or via the ATO for a payment to be made from an SMSF.
How Intello solutions is Handling COVID-19
Intello is operating as normal. Our offices are open, however some team members may work from home in the coming weeks.
Our business infrastructure and technology is secure and completely cloud-based, meaning we can often work remotely within Australia. Similarly, our key partners including software providers and independent auditors are also cloud-enabled.
We encourage our clients to continue to use the Portal, Intercom and emails as the primary communication media.If you require to schedule a meeting, either by phone call or video meeting (using Zoom) please contact us.
Our phones are still on for your calls, however please be patient if we can’t answer immediately, or if the person you need to speak to isn’t immediately available.
We don’t expect any significant delays in terms of completion of necessary work or lodgements to the ATO, however where necessary we will request additional extensions where needed.
Importantly, if you have any questions or need any help whatsoever, please don’t hesitate to contact us.
We are here to assist you however we can through these challenging times.