SUPERS032 Should you downsize to boost your super? Pros, cons, and tax implications (681 words)

Downsizing your home and contributing the proceeds to super may be a tax-effective option to boost your retirement income. But before you make the decision to sell, make sure you are aware of both the benefits and the possible drawbacks.

The idea of downsizing can be very appealing to empty-nesters. There will be less cleaning, gardening and maintenance, more time for hobbies and travel, and the icing on the cake comes if you can use the cash surplus you created to give your super a significant tax-effective boost.

But is the picture totally rosy, or are there some drawbacks to downsizing?

Advantages of putting downsizer contributions into super