First Home Super Saver Scheme (FHSS) Explained - 2026 Guide
How Australia's First Home Super Saver Scheme works: $15,000 per year and $50,000 total contribution limits, 85% vs 100% release rules, and how to fold FHSS into your deposit plan.
First Home Super Saver Scheme (FHSS) Explained - 2026 Guide
The First Home Super Saver Scheme lets you park voluntary contributions inside super - where tax is usually lower than your marginal rate - then pull them out (plus ATO-deemed earnings) for a first home deposit. It is one of the highest-leverage deposit tools available to Australian first home buyers, as long as you respect the contribution limits and release rules. Figures below follow the ATO FHSS pages.
The 30-second summary
- Contribute up to $15,000 per financial year and $50,000 total in eligible voluntary contributions.
- Withdraw 100% of eligible non-concessional contributions, 85% of eligible concessional contributions, plus associated earnings.
- Employer SG is not eligible - only voluntary amounts.
- Request an FHSS determination before settlement.
- Couples can each use their own FHSS on the same property.
- Fold the released amount into your deposit plan with the savings goal calculator and purchasing power calculator.
Contribution limits
| Limit | Amount |
|---|---|
| Per financial year | $15,000 of eligible voluntary contributions |
| Lifetime (from 1 July 2017) | $50,000 of eligible voluntary contributions |
Both limits count contributions in full. If you salary-sacrifice $20,000 in one year, only $15,000 counts toward FHSS for that year - the rest still sits in super but outside the FHSS eligible base.
What you can release
| Contribution type | Counts for FHSS? | Release treatment |
|---|---|---|
| Employer SG | No | Cannot be released under FHSS |
| Salary sacrifice (concessional) | Yes, within limits | 85% + associated earnings |
| Personal deductible contribution | Yes, if notice of intent completed | 85% + associated earnings |
| Voluntary non-concessional | Yes, within limits | 100% + associated earnings |
Associated earnings are a notional ATO calculation (tied to a published shortfall interest charge style rate), not your fund's actual investment return.
Worked example: $50,000 concessional FHSS base
| Item | Figure |
|---|---|
| Eligible concessional contributions (total) | $50,000 |
| Release of contributions (85%) | $42,500 |
| Associated earnings (illustrative) | depends on timing - ATO calculates |
| Rough contribution release before earnings | $42,500 |
If the same $50,000 were non-concessional instead, the contribution release would be the full $50,000 before earnings. In practice most FHSS users mix salary sacrifice (concessional) with some after-tax amounts.
A couple who each max the $50,000 base can point roughly $85,000+ of combined contribution releases (before earnings) at the same purchase - often the difference between a 5% and a 10%+ deposit on a median capital-city unit.
How to use FHSS in a deposit plan
- Check eligibility (18+, never owned Australian property, will live in the home).
- Decide concessional vs non-concessional mix against your marginal rate and the $30,000 concessional cap (2025-26).
- Contribute steadily within the $15,000 annual FHSS limit.
- When buying, request an FHSS determination in myGov before settlement, then request release.
- Add the expected release into your deposit timeline:
Use the savings goal (deposit) calculator for the non-super cash you still need, and the purchasing power calculator once you know deposit + borrowing capacity. If you are also looking at shared equity, read the Help to Buy scheme guide.
FAQ
What is the First Home Super Saver Scheme?
FHSS lets eligible first home buyers make voluntary super contributions, then withdraw those contributions plus ATO-calculated associated earnings for a first home deposit. Employer SG is not eligible.
How much can I contribute under FHSS?
Up to $15,000 of eligible voluntary contributions per financial year, and $50,000 total from 1 July 2017.
How much can I withdraw from FHSS?
100% of eligible non-concessional contributions, 85% of eligible concessional contributions, plus associated earnings. Get an FHSS determination before settlement.
Who is eligible for FHSS?
18+, never owned Australian property (limited hardship exceptions), will live in the home, have eligible voluntary contributions, and have not already released under the scheme.
Does FHSS count toward the concessional contributions cap?
Yes. Salary sacrifice and personal deductible contributions still count toward the ordinary concessional cap ($30,000 in 2025-26).
Can couples both use FHSS on the same property?
Yes - each eligible person can release their own FHSS amount toward the same purchase.
When should I request an FHSS determination?
Before ownership transfers - typically before settlement. You generally need a contract within 12 months of the release request.
Is FHSS better than saving in an offset account?
It depends on tax rate, contribution type, timeline and liquidity needs. Model both against your deposit deadline.
Sources
- ATO - About the FHSS scheme
- ATO - About FHSS release amounts
- firsthomebuyers.gov.au - First Home Super Saver Scheme
General information only - not personal financial advice. Confirm limits, caps and timing with the ATO and your fund before you contribute or release.
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