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Access to super on compassionate grounds – what you need to know

Eligibility criteria, required evidence and what to do before applying to access super on compassionate grounds.

Last updated 8 July 2026

Info Alert
Updates to compassionate release of super (CRS) application forms

From 17 November 2025, the online and paper CRS application forms have been updated. If you're applying by paper form, please use the new version. Old paper forms received on or after 17 November may be cancelled, and you'll need to reapply using the updated form. 

When you can access your super

There are limited circumstances where you can access your super on compassionate grounds to meet expenses for you or your dependant.

Under the law, we are not able to change the conditions under which you can access your super early.

You may be able to have super released on compassionate grounds to pay for:

  • medical treatment for you or your dependant
  • medical transport for you or your dependant
  • modifying your home or vehicle to accommodate special needs arising from your or your dependant's severe disability
  • palliative care for you or your dependant's terminal illness
  • death, funeral or burial expenses for your dependant
  • preventing foreclosure or forced sale of your home.

For more information, see Expenses eligible for release on compassionate grounds.

Applications for the compassionate release of super generally need to be for an expense that has not yet been paid for.

If you have paid for the expense by borrowing money, you may be able to access your super to repay the outstanding balance of the borrowed amount.

Compassionate grounds do not include meeting general day-to-day expenses in hardship situations. In these situations, you may be able to access your super early due to severe financial hardship by applying directly to your super fund.

As your application may not be approved, we recommend you wait for the outcome and receive payment from your fund before you book the treatment or services you have applied for.

Alternative options for payment

Due to the effect of reducing your super balance, you should only consider requesting access when all other options have been considered:

Your financial capacity to pay the expense

Before you consider accessing your super early, you need to ensure you have no alternative options of paying the expense, either in part or full, aside from accessing your super. This includes:

  • using your savings, such as everyday accounts, high-interest savings, or term deposits
  • using your partner's available savings
  • redrawing from your mortgage or using any available credit, such as existing credit cards or personal loans
  • selling shares, investments or assets
  • exploring other payment options, such as
    • a payment plan with the provider
    • borrowing money, obtaining a loan or obtaining additional credit facilities

If you can only pay part of the expense through using any of these options, you can apply to access the remaining amount from your super.

Keeping records

We may ask you to provide documents that support why alternative options weren't available to enable you to pay all or part of the expense. This could include:

  • bank statements, including those showing any amounts of undrawn credit facilities such as a credit card or mortgage redraw
  • letters or emails from providers or lenders confirming that a payment plan or loan application wasn't approved
  • statutory declarations.

Where these documents don't align with the information declared in your application to access your super, you may be liable to penalties for making false or misleading statements.

Example 1: applicant who can pay part of the expense

Helen makes an application for compassionate release of super for $12,000 of her super to pay for dental treatment. After submitting her application, Helen is asked to provide evidence that shows the other options she considered before applying and that she was unable to pay for the expense via other means.

Helens provides us with:

  • copies of her and her partner's joint bank statements showing a total balance of $5,000 across several accounts
  • a statutory declaration advising that she
    • doesn't own any shares or other investments that could be sold to meet the expense
    • doesn't have a redraw option available on her mortgage
    • doesn't meet the criteria for a payment plan with the provider
    • has been unsuccessful in obtaining a loan from a lender
    • has $3,000 in her savings account for necessary upcoming living expenses and mortgage repayments, with $2,000 being savings for a holiday
  • a letter from her dental provider advising she is unable to establish a payment plan.

The evidence provided by Helen supports that she has explored other options of paying the expense without accessing her super but hasn't considered utilising her excess savings to partially pay for the expense.

Given Helen has $2,000 available in discretionary savings, we consider she has capacity to pay for part of the expense and could be approved to access the remaining $10,000 from her super.

End of example

 

Example 2: applicant who can pay part of the expense

James gets a loan from a family member to pay for urgent medical treatment costing $15,000. The loan is properly documented and requires repayment in full in 60 days’ time. James makes an application for compassionate release of super for $13,000 of his super to pay back the loan because he won’t be able to repay this amount within the required timeframe.

James is asked to provide evidence that shows the other options he considered before applying.

James is not in a dependency relationship and provides us with:

  • copies of his bank statements showing a total balance of $5,000 across several accounts and no redraw capacity on his mortgage
  • a statutory declaration advising that:
    • he doesn't own any shares or other investments
    • he has not been successful in obtaining a personal loan from a commercial lender for any of the $13,000. He further indicates that can provide documentary evidence of the loan application outcome if required.
    • of the $5,000 in his savings account, $3,000 is required for upcoming living expenses and mortgage repayments, and $2,000 is being used to repay part of the loan.

The evidence provided by James supports that he has explored other options of paying the expense without accessing his super.

James is using excess savings to repay $2,000 of the loan and is applying to access his super to pay only the remaining $13,000. As he has demonstrated that he cannot pay this amount using other funding within the 60 days, we consider that he does not have financial capacity to meet the repayment and his application to release $13,000 of his super could be approved.

End of example

Payment options for medical treatment

You may not need to access your super to pay the full amount of the medical treatment expense. It's important to talk to your medical practitioner, Medicare or your private health insurer to find out:

  • how much of the expense Medicare or your private health insurer will pay
  • how much of the expense you must pay yourself (out-of-pocket expenses)
  • if you will receive any rebates for payments you make yourself or if any rebates can be paid directly to your medical practitioner
  • whether you can enter into a payment plan to pay for the treatment.

Payment options for medical transport

All Australian states and territories have patient assisted travel schemes to help people in rural and remote areas with the costs of travel for specialist treatment. These schemes may also be able to assist with accommodation costs and travel expenses for carers. Find out more about these schemes in your state or territory at HealthdirectExternal Link.

Some private health insurers offer travel and accommodation benefits. Check your policy to see what's included.

The Medical Treatment Overseas ProgramExternal Link (MTOP) may provide financial assistance for Australians suffering from a life-threatening medical condition to receive treatment overseas where effective treatment is not available in Australia.

Payment options for modifying your home or vehicle to accommodate a severe disability

You may have other options to pay for modifications to accommodate special needs arising from your or your dependant's severe disability, including:

Payment options for palliative care

If you have a terminal medical condition and are looking to access your super early, you can apply directly to your super fund for early access due to a terminal medical condition. In this case, the amount released will not be taxable.

Your dependant may also be able to access their own super tax free, directly from their super fund, if they are suffering a terminal medical condition.

You may receive a rebate from Medicare or your private health insurer for some palliative care costs. It is important to talk to Medicare or your private health insurer to find out what costs you must pay yourself and how much, if any, of the expense Medicare or your private health insurer will cover.

Payment options for death, funeral or burial expenses for your dependant

You may be entitled to assistance from Services AustraliaExternal Link if you've been receiving Services Australia support payments.

Financial institutions may also release funds from the bank account of a deceased person to pay for their funeral expenses. Ask your dependant’s financial institution if this is an option.

Payment options to prevent foreclosure or forced sale of home

If strata levies apply to your home and you're struggling to pay them, the National Debt Helpline's Strata LeviesExternal Link page has information about payment options. It also includes steps you can take to prevent the forced sale of your home and phone or chat services to get advice from a financial counsellor for free.

Consider the effects of reducing your super balance

Accessing your super early will reduce your super balance. This may affect your:

  • future retirement income
  • income protection insurance
  • life and total and permanent disability insurance cover
  • family tax benefit
  • child support payments.

Make sure you understand your options and the financial impacts of accessing your super before you apply. Consider getting financial advice. You can start with these free services:

How tax applies

The super you withdraw on compassionate grounds is paid and taxed as a normal super lump sum. For more information, see Tax on super withdrawals.

The tax rate depends on various factors, including your age, your preservation age, and the components of the super lump sum.

When super is released you need to include any taxable amounts in your tax return.

Refund of tax withheld

If you receive super on compassionate grounds and tax was withheld from your payment, you may be able to request a refund of that tax if you are certified as having a terminal medical condition either:

  • at the time of the payment
  • within 90 days of receiving the payment.

For information about how to request a refund and the documents you need to provide, see Refund of tax paid on super.

Before applying for early release

Before you apply through the ATO for early release of super on compassionate grounds, work through these steps:

  1. Check that you or your dependant meet the eligibility conditions and what evidence you need to provide.
  2. Check the list of eligible expenses and what evidence you need to provide.
  3. Contact your super fund to
    1. confirm they will release your super early on compassionate grounds
    2. confirm there is enough money in your super account to cover both the expense and any tax you will need to pay
    3. check if your fund will charge you any fees for the release
    4. understand the effect of any insurance attached to your super account.

4. See how to apply for compassionate release of super.

Members of self-managed super funds (SMSFs)

If you are a member of an SMSF you still need to apply through the ATO to access your super early under compassionate grounds.

Be aware that some advisers claim you can get early access to your super by transferring it into a SMSF. These schemes are illegal and there are heavy penalties if you participate. For more information, see Illegal early access to super.

Members of exempt public sector super schemes

Members of exempt public sector super schemes do not need to apply through the ATO to access your super early under compassionate grounds unless your super fund has told you to. In most cases, you'll need to apply directly to your scheme for early release of super. These schemes are subject to state and territory laws on early release of super.

 

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