{"id":576831,"date":"2026-07-31T08:30:18","date_gmt":"2026-07-31T08:30:18","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/576831\/"},"modified":"2026-07-31T08:30:18","modified_gmt":"2026-07-31T08:30:18","slug":"transfer-balance-cap-why-rolling-over-your-super-pension-to-a-new-fund-can-trigger-an-excess-determination","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/576831\/","title":{"rendered":"Transfer balance cap: Why rolling over your super pension to a new fund can trigger an excess determination"},"content":{"rendered":"<p>Q: I retired in 2017 with a $1.2 million super pension which I increased to $1.675 million in 2024 through a combination of downsizer and non-concessional contributions. Recently, when my fund decided to merge with another, I elected to instead transfer my total super balance of $1.72 million to a new super fund. After the transfer, the Australian Taxation Office said I had exceeded my cap by $45,000, with a warning that if it wasn\u2019t commuted, I faced having to pay tax and penalties. My understanding of super is that pensions are tax-free, so transferring a pension balance to a new fund should not require commuting. Is that not the case? \u2013 Mike<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" alt=\"\" class=\"_78513498480b2b42-image\" data-testid=\"Image-image\" src=\"https:\/\/www.newsbeep.com\/ie\/wp-content\/uploads\/2026\/07\/a04d2a383c07d2a02b50b943516f89eaa07cc62d5620333c8ce97d719bd17d7b.jpeg\"   data-id=\"a04d2a383c07d2a02b50b943516f89eaa07cc62d5620333c8ce97d719bd17d7b\" data-pb-im-config=\"{&quot;aspectRatio&quot;:1.5,&quot;type&quot;:&quot;landscape3x2&quot;,&quot;width&quot;:382,&quot;urls&quot;:[&quot;https:\/\/static.ffx.io\/images\/$zoom_0.28%2C$multiply_3%2C$ratio_1.5%2C$width_756%2C$x_70%2C$y_0\/t_crop_custom\/c_scale%2Cw_382%2Cq_88%2Cf_auto\/a04d2a383c07d2a02b50b943516f89eaa07cc62d5620333c8ce97d719bd17d7b&quot;,&quot; https:\/\/static.ffx.io\/images\/$zoom_0.28%2C$multiply_3%2C$ratio_1.5%2C$width_756%2C$x_70%2C$y_0\/t_crop_custom\/c_scale%2Cw_764%2Cq_52%2Cf_auto\/a04d2a383c07d2a02b50b943516f89eaa07cc62d5620333c8ce97d719bd17d7b 2x&quot;]}\" width=\"382\" height=\"255\"\/><\/p>\n<p>A super pension must be ceased and restarted if you transfer it from one super fund to another.\u00a0Bethany Rae<\/p>\n<p>Loading&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"Q: I retired in 2017 with a $1.2 million super pension which I increased to $1.675 million in&hellip;\n","protected":false},"author":2,"featured_media":576832,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[72,176,61,60,174,175],"class_list":["post-576831","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-finance","tag-ie","tag-ireland","tag-personal-finance","tag-personalfinance"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/576831","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=576831"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/576831\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/576832"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=576831"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=576831"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=576831"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}