When you're ready to purchase your first home, there are a few important steps to complete before your HomeSoon savings can be released.

HomeSoon is a Pearler product that uses the First Home Super Saver (FHSS) scheme, allowing you to save for your first home through your superannuation. Because of this, releasing your savings requires following the ATO’s requirements.

Keep in mind—this is a general overview of the steps involved. It’s always a good idea to speak with a licensed financial adviser or tax professional before making any financial decisions.

These are the steps to withdraw your savings from HomeSoon:

Step 1: Request a determination

A determination tells you how much of your super balance you can access. When calculating your maximum releasable amount, your eligible contributions are included as follows:

• 100% of your non-concessional contributions, and

• 85% of your concessional contributions

• and any deemed earnings.

When you receive your determination from the ATO, you should check to see if all details are correct.

You can submit as many determination requests as needed while using HomeSoon and the FHSS scheme.

You must request an FHSS determination before ownership of any real property transfers to you. This includes signing a contract for the purchase of your first home. Check the ATO for more information.

To request a determination you must:

1. Log into the ATO online services through myGov

2. Select Super, then Manage, then First home saver

Step 2: Request the release of your superannuation

Once you’ve received and approved your FHSS determination, you can submit a request to release your funds.

You don’t have to release the full amount listed in your determination, but it does represent the maximum you’re allowed to access.

When submitting your release request, you’ll need to specify:

• The amount you want to withdraw (up to your determined limit),

• The super fund(s) to withdraw from, and

• The bank account to receive the funds.

To request the release of your superannuation you must:

1. Log into the ATO online services through myGov

2. Select Super, then Manage, then First home saver

Step 3: Sign a contract for your first home and notify the ATO

Once you have made the request for release of your superannuation, you must sign a contract for your first home within 12 months. Alternatively, if you sign a contract before requesting the release of your superannuation, you must make a release request within 90 days.

If you have requested the release of your superannuation but have been unable to purchase your first home, the ATO may grant you an extension of 12 extra months. You do not need to apply for this extension, as the ATO will grant it unless it deems it inappropriate. You will be notified of any updates.

When you sign a contract for the purchase or construction of your first home, you must notify the ATO within 90 days. If you wish to recontribute the FHSS amount to your super fund, you must notify the ATO within 12 months of your initial release request. If you do not notify the ATO of either of these, you may be subject to tax on your FHSS amount.

To notify the ATO:

1. Log into the ATO online services through myGov

2. Select Super, then Manage, then First home saver

Step 4: Receive your FHSS amount

In order to release your funds, the ATO will contact Pearler. Before Pearler releases your funds, we will confirm with you that the request is in fact yours. Once you approve this, Pearler will sell the relevant assets in your super, and transfer the funds to the ATO. The ATO will then withhold the associated tax, and ensure you have no outstanding debts with any Commonwealth agency. Finally, the ATO will release the funds to you.

According to the ATO, it will generally take 15-20 business days from requesting the release of your superannuation, and the funds being deposited into your nominated bank account.

Alongside your money, you will receive a payment summary showing your assessable FHSS release amount. This statement must be included in your tax return for the financial year you request the release of your FHSS in. This may be different from the financial year you receive your FHSS amount.

Additionally, your payment summary will show any tax withheld from the released amount, which is eligible for a 30% tax offset.

Between submitting your release request and receiving your FHSS amount, your savings are managed by the ATO. During this time, only the ATO can provide updates specific to your situation.

As this is general in nature, and information can change, it’s always best to speak to a financial advisor or accountant, and to check the ATO website for the most up to date information*.

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As always, before making financial decisions, please do your own research and read the Pearler Super product disclosure statement along with the TMD and other important documents listed here.

If you have more questions or would like to share any feedback, please reach out to us via our live chat or email us at help@pearler.com.

* Remember, that this is general in nature and doesn't constitute personal advice. Reach out to a financial professional when considering making financial decisions. As details may change, we recommend checking the information directly from the source, including the ATO website. All figures and data in this article were accurate at the time it was published. That said, financial markets, economic conditions and government policies can change quickly, so it's a good idea to double-check the latest info before making any decisions.