Calculate First Home Super Saver (FHSS) withdrawal for 2025-26 and 2026-27. ATO $15k/yr + $50k lifetime cap, tax saving from concessional vs non-concessional contributions, determination request and eligible deposit amount.
$50k lifetime cap30% tax offset
01 —INPUTS
Maximum $15,000 per person per year
85% released, taxed at 15% instead of marginal rate
→Lower tax on contributions: Salary sacrifice or personal deductible contributions are taxed at just 15%, instead of your marginal rate (up to 47%)
→30% tax offset on withdrawal: When you withdraw, you pay your marginal rate minus 30% — meaning low-income buyers may pay zero tax on the release
→Deemed earnings: The ATO adds 'associated earnings' to your contributions based on the shortfall interest charge rate (90-day bank bill rate + 3%, approximately 6.61% in 2025)
FHSS contribution limits
Limit type
Amount
Notes
Per year
$15,000
Per person, from voluntary contributions only
Lifetime
$50,000
Per person, contributions made since 1 July 2017
Couple combined
$100,000
Each partner can access their own $50,000 limit
The 85% rule & withdrawal tax
When you make a concessional contribution (salary sacrifice or personal deductible), 15% is withheld as contributions tax by your super fund. So when you withdraw under FHSS, you receive 85% of your contributions plus 85% of associated earnings. Example: a $15,000 contribution nets $12,750 after the $2,250 contributions tax — and that $12,750 is what's available for FHSS release.
Taxable income
Marginal rate + Medicare
Less 30% offset
Effective withdrawal tax
$0 – $18,200
2%
−30%
0%
$18,201 – $45,000
18%
−30%
0%
$45,001 – $135,000
32%
−30%
2%
$135,001 – $190,000
39%
−30%
9%
$190,001+
47%
−30%
17%
FHSS vs regular savings — example
Saving $15,000 per year for 3 years on a $90,000 salary:
Method
FHSS scheme
Bank account
Gross savings per year
$15,000
$15,000
Tax on contributions
15% ($2,250)
32% ($4,800)
Net into savings
$12,750
$10,200
After 3 years + earnings
~$41,500
~$32,400
Tax on withdrawal
~$830 (2%)
$0
Net to your bank
~$40,670
~$32,400
You save with FHSS
~$8,270
Tip: The higher your income, the more you benefit from FHSS. Someone on $150,000 would save even more due to the larger gap between their marginal rate (39%) and the 15% contributions tax.
Eligibility & timeframes
Eligibility requirements
→Must be 18 or older to request a FHSS determination
→Must never have owned property in Australia (including investment property)
→Must never have previously requested a FHSS release
→Australian citizenship or tax residency is not required
→Must intend to live in the property for at least 6 months within the first 12 months
Important timeframes
→Request a FHSS determination from the ATO before requesting a release
→You have 12 months from requesting a release to sign a contract
→Notify the ATO within 28 days of signing the contract
→Funds typically take 15–20 business days to reach your bank account
Combine FHSS with state first home buyer benefits
FHSS works alongside state government first home buyer schemes. Use our stamp duty calculators to see your total savings:
You can withdraw up to $50,000 in eligible contributions per person (lifetime limit), plus associated earnings. The maximum you can contribute each year is $15,000. For couples buying together, the combined limit is $100,000.
Why do I only get 85% of my contributions?
When you make concessional (before-tax) contributions to super, 15% is withheld as contributions tax. The remaining 85% is what's available for release under FHSS. This is still beneficial because 15% tax is much lower than most people's marginal tax rate.
How is the FHSS withdrawal taxed?
FHSS withdrawals are taxed at your marginal tax rate minus a 30% tax offset. For example, if your marginal rate is 32% plus 2% Medicare levy (34% total), you'd pay 34% - 30% = 4% tax on the withdrawal. If your effective rate is below 30%, you may pay no tax on withdrawal.
Can couples both use FHSS?
Yes, if you're buying a home with your partner, you can each use your own FHSS entitlements. Each person can contribute up to $15,000 per year and $50,000 lifetime, meaning a couple could potentially access up to $100,000 (before tax) for their deposit.
Is FHSS worth it?
For most first home buyers, yes. The main benefits are: (1) Your contributions are taxed at 15% instead of your marginal rate, (2) You get a 30% tax offset on withdrawal, and (3) Your savings earn a deemed return. The higher your income, the greater the tax savings.
What are 'associated earnings' in FHSS?
Associated earnings are a deemed amount the ATO calculates based on the shortfall interest charge (SIC) rate, which is the 90-day bank bill rate plus 3%. As of late 2025, this rate is approximately 6.61%. This is added to your contributions when calculating your release amount.
Tax Accuracy & Sources
Reviewed: March 2026 · Tax year: 2025-26
This calculator estimates your FHSS release amount and tax savings for 2025-26. It does not account for non-concessional contributions under FHSS or state and territory first home buyer grants.