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GMS Client Newsletter l Issue 2

AdelA de KDN PP 16852/08/2011 (028612)

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The formation of South Australia is fairly unique among the Australian states. Instead of a convict settlement as the other states were commonly known for, South Australia was a freely settled and planned British province. Today, the state is known as a state of celebrations, festivals and wine. The capital city, Adelaide, a sister city of George Town, Penang, is home to some of the largest festivals in the world.

With a population of approximately 1.6 million (of which about 70% are concentrated in Adelaide), South Australia has relatively low population density in relation to its size. South Australia’s population policy is focuses on migrant growth and it is well-known for is its migrant-friendly policies.

It is one of the few states with a comprehensive on arrival service that is offered free for new migrants.

One of the most difficult choices migrants have to make is which state to become resident in and how to make the transition as pain-free as possible. The range of services South Australia offer for the newly arrived make the decision a relatively easy choice as South Australia welcomes them with open arms.

New migrants can be met at the airport upon arrival, provided transportation to public accommodation if they need it and given the necessary introductions to begin life in Australia. On top of this, there are many migrant employment programs being promoted and most are free.

Why would you choose South Australia as a destination? For one thing, Adelaide is one of the most affordable cities in Australia, with cheaper housing rental and

purchase cost than other capital cities, and it also one of the most livable places in the world. This combination of world-class quality of life and affordability does not mean that pay is low. As a matter of fact, Adelaide wage earners earn about 95% of Victoria workers income.

South Australia has a robust and vibrant employment economy, with particular focus on wine exports (naturally), the defense industry, IT and biotech, minerals and resources and the building industry, all of which are are demonstrating huge job growth.

Take a gander at the following pages, and find out more about the sunny southern state.

STATEFRIENDLY

A MIGRANT

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ADELAIDE

02 A Migrant Friendly State

Copyright @ October 2010Global Migration Solutions Sdn BhdAll rights reserved. Reproduction without permission is prohibited

Migration Agents Registration Number 0428740

Licensed Adviser 200800600

SOME FUN THINGS

04 Barossa Wine Valley05 Adelaide Festival of Arts & Adelaide Fringe Inc.05 Santos Down Under Tour06 Adelaide Kite Festival

07 SA On Arrival Services

09 Minister of Finance Penny Wong – Profile of an Adelaidean

SOUTH AUSTRALIA UNIVERSITIES

11 University of Adelaide12 Flinders University / University of South Australia

13 Visa Explained - Parent Visa

15 Superannuation

16 SA First Home Owners Grant

DRAFTBarossaThe Barossa region, which includes the Barossa Valley and the Eden Valley, is one of Australia’s oldest wine regions and it is also considered as the wine capital of Australia. It is located approximately 60km northeast of Adelaide. Barossa ranks alongside Bordeaux, Napa and Tuscany as the premier wine producing regions in the world.

Barossa is largely a Shiraz producer, although it is also known for its Riesling, Semillon, Chardonnay, Grenache, Mourvedre and Cabernet Sauvignon varieties. Apart from its world-class wine, Barossa is also

famous for its captivating food and cultural experiences. Visiting the Barossa countryside, explorers can view an expansive and colourful patchwork of vineyards and picturebook villages with historic churches, stone buildings and cottages.

The theatrical, gastronomical and alcoholic-al come together every two years at the biennial Barossa Vintage Festival, a nine-day celebration that showcases food, wine and performances and more than 100 events and activities.

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South Australia is known as the wine and events centre of Australia. In the trailing summer season, Adelaideans party hardest and have the most uproarious fun. Here are some fun things that South Australia has to offer.

THINGSFUNSOME

DRAFTAdelaide Festival of Arts & Adelaide Fringe Inc.The Adelaide Festival is one of the world’s great arts events, which is held every 2 years. Beginning in 1960, the Adelaide Festival is held in March of every even numbered year. It is held in the city centre, predominantly in the Adelaide Festival Centre and along the River Torrens. The festival showcases several diverse art forms across Australia and around the world.

Each festival program features opera, theatre, dance, classical and contemporary music, cabaret, new media events, the Adelaide Writers’ Week, outdoor entertainment, visual arts exhibition, master classes, forums, late night club and much more. Starting 2012, the South Australian government has pledged that the frequency of the Adelaide Festival would be increased to be an annual event.

An alternative to the Adelaide Festival, the Adelaide Fringe Inc is held in February and March of every year, in a three week open-access arts event. The Fringe is open to anyone who registers to showcase their arts. Artists from all over the world participate alongside home-grown talent in all artforms.

Highlights of the event include a huge opening night party, parade and concert, street theatre, the Garden of Unearthly Delights and Fringe Family Weekend.

Santos Down Under TourThe Santos Tour Down Under was first held in 1999 and it is the largest cycling race in the southern hemisphere. The week-long event

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DRAFTbrings top ProTour professional cycling teams to race on the streets of Adelaide and regional South Australia each January.

In the 1999 Down Under Tour, cycling legend Lance Armstrong made his comeback to professional road cycling. Apart from Armstrong, several world cyclist winners have all raced in Adelaide, such as celebrity cyclists like Oscar Pereiro, Alberto Contador and Carlos Sastre.

The Tour is also a festival, with massive parties and events lined up along South Australia in celebration. Amateur cyclists can also take part in the Skoda Breakaway Series, which gives them a chance to ride part of the ProTour race route. The race starts and concludes in the city street circuits of Adelaide city, with the latter 5 stages held throughout regional South Australia.

Adelaide Kite FestivalThe Adelaide Kite Festival is held annually at the Semaphore Jetty in Port Adelaide Enfield. Hundreds of spectacular kites in all shapes and sizes converge upon the beach shores and light up the Southern skies with elaborate multi-coloured creations.

Designs range from the Orca (a perennial favourite) to complicated Octopuses and Cuttlefishes blot out the sun with their gigantic form. There are stunt kite performances, Rokkaku challenges (Japanese style kite-fighting), kite-making classes and even kite buggying, which is just as exhilarating as it sounds.

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Immigration South Australia has developed a program to help new migrants settle into the state called the On Arrival Services. These services are offered for free to newmigrants and business residents.

Meet and GreetThe Meet and Greet service is a free service that welcomes and helps new migrants settle quickly into their new home in South Australia.

The service includes:• being met at Adelaide Airport or your place of arrival• transfer to your accommodation• assistance in settling into your accommodation• one accompanied shopping trip to buy food and other essentials, if required, within the first week of arrival• Immigration SA’s On Arrival information pack

The volunteers who provide the service will also provide guidance and information about essential tasks that new migrants need to do upon arrival, such as:• opening a bank account• registering with Medicare• applying for a Tax File Number• assistance to contact the migrant’s ethnic community group

The Meet and Greet service, while free, does require that the

migrant book the service 4 weeks in advance so that a volunteer can be allocated to perform the service.

Public AccommodationMigrants who are new to South Australia may immediately require public accommodation and the On Arrival Public Accommodation provides this service.

The public accommodations are basic, furnished, rental accommodations provided by Housing SA and are located in the Adelaide metropolitan area, with access to local shops, schools and public transport. Based on the number of family members, migrants would be allocated studio, single, double or triple room accommodations at the rate of between AU$140 to AU$300 a week (subject to change). Lease is at a maximum of 12 weeks with Housing SA and the required bond and refundable security deposit is also payable upon agreement.

This service is very popular for new migrants looking to spend a few months to get their local affairs in order, search for employment and arrange for more permanent accommodation. Due to the popularity, housing is allocated subject to availability and migrants are required to book the service 6 weeks in advance.

Employment Linkages Services (ELS)The Employment Linkages Services is a free comprehensive program designed to assist new migrants to make the transition into employment which is aligned to their background training, work experience and demonstrated work skills.

The service includes• building skills to find employment• industry networking• orientation to Australian systems and culture• referral service to other relevant recruitment agencies

Skills Recognition Services (SRS)The SA Skills Recognition Services assists migrants seeking employment and the service is free and available to anyone who has working rights in Australia.

The service includes:• comparative assessment of overseas gained qualifications and training for both tertiary and trade qualifications• information and advice about pathways to recognition of overseas gained or locally gained skills and qualifications • recommendations for any bridging training and licensing requirements• assistance with preparation of

resumes and application letters• information, consultation and support with employment - related issues

In addition to the skilled migrant services above, business migrants also have access to some of South Australia’s On Arrival services aimed at business people.

Exploratory Visit SupportExploratory Visit Support is a free, once-only service designed to give business migrants the opportunity to explore possible business activities in South Australia.

The service includes:• booking hotel accommodation• preparing a local itinerary• arranging visits to businesses and setting up meetings (such as with industry organisations, Business SA and with business specialists).• provision of information on potential activities based on individual interests.• arranging visits to schools, real estate and business agents.

Networking and Referral ServiceThe free networking and referral service offers an individual referral service to designated contact officers in relevant South Australian

Government agencies, as well as links to Australian Government agencies, chambers of commerce and industry, trade associations, industry associations, industry assistance programs, Business Enterprise Centres, Innovate SA, regional development boards and business brokers.

Business Relocation ServiceThe Relocation Service is a tailor-made assistance and support service for business migrants settling in South Australia.

This service includes:• information pack • On Arrival Meet and Greet• temporary accommodation coordination• furniture and electrical purchase facilitation• education enrolment assistance• appointment with an Immigration SA Business Migration Manager• information sessions (covering a variety of topics based on new migrants’ needs)

The relocation service is subject to the availability of resources and funds by the SA Government.

SOUTH AUSTRALIA ON ARRIVAL SERVIcES

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South Australia. Make the move.

There’s a place in the world where you can have a brilliant blend of business,

career, study and lifestyle.

South Australia provides work and investment opportunities and it’s affordable too.

In fact the Mercer Cost of Living Survey 2009 rates Adelaide as the most affordable

capital city among the mainland states.

You’ll find that in Adelaide you can enjoy living on a big block, not in one. The city

has the lowest median house prices and more affordable rental fees than any other

Australian mainland capital.

You’ll spend less time on the road and more time with your family and friends.

Adelaide is a well-planned city with shorter travel times.

It should come as no surprise then that Adelaide has consistently been voted one

of the world’s most liveable cities. Also with its world-class education system from

preschool to University it is a great investment in your family’s future. So, when you

think about it, there’s no better place to invest, work or live.

The South Australian Government offers a range of visa sponsorship and business

migration options. For more information visit www.migration.sa.gov.au

INVEST IN YOUR FUTURE AS WELL AS YOUR CHILDREN’S.

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Upon the formation of Julia Gillard’s new cabinet after the electoral impasse that resulted in a hung parliament (which was eventually resolved when the Independents and Greens pledged their support to Labor, allowing Labor to form a minority government), there was a surprise announcement on her choice for the Minister of Finance and Deregulation position. Penny Wong, the current Minister of Climate Change, Energy Efficiency and Water, was elevated and sworn in as Minister of Finance and Deregulation, succeeding the outgoing minister Lindsay Tanner. Her appointment makes her the highest ranking Asian holding office in Australia.

Australia’s Most Famous Malaysian MigrantPenelope Wong Ying-Yen, or Penny, was born on 5 November 1968 in Kota Kinabalu, Sabah. Her father was Malaysian Chinese while her mother was an Australian. At the age of 8, she moved with her mother and brother to Australia and settled in Adelaide, South Australia, while maintaining contact with her father, who was separated from her mother and remained overseas.

As the oldest daughter in the family, Penny has cultivated a responsible, but pragmatic outlook throughout her childhood into her adult life. Initially enamoured with the medical profession and choosing to be a doctor, Penny won a spot in medical school in 1986 and eventually spent 1 year in an exchange program in Brazil, where she volunteered at a hospital.

When she returned in 1987 to Australia, she enrolled in the Arts/Law programme at the University of Adelaide (the same University that Prime Minister Julia Gillard hails from) and she immediately made an impact to the student population by organising the university’s largest Labor Club gathering and seeding her intimate involvement in politics at this early stage. It was at Adelaide that she also met her former boyfriend, Jay Weatherill, who has since went on to become South Australia’s Minister for Education and Early Childhood Development.

MISS MONEY PENNYPROFILE OF AN ADELAIDEAN

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MINISTER OF FINANcE

Picture credit (C) penrithsustainabilityunit

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During the latter stages of her law degree, Penny worked part-time for the Construction, Forestry, Mining and Energy Union as an industrial officer, eventually gaining admission to the Australian Bar in 1993.

Senatorial AmbitionsPenny formed an alliance with a group of young proteges of South Australian senator Nick Bolkus, which included Weatherill, Pat Conlon, current South Australia Minister for Transport, Infrastructure and Technology and Mark Butler, the current South Australia Minister for Mental Health and Ageing.

Penny worked as a legal officer for Mark Butler after serving for 3 years as a barrister and solicitor at an Adelaide law firm. During this time, she won the pre-selection for senate in 2001. It was also during this time that Penny had to deal with the difficult personal episode in the death of her brother Toby, turning to her faith to cope with the loss.

She was appointed Shadow Minister for Employment and Workforce Participation and Shadow Minister for

Corporate Governance and Responsibility in June 2005, as one of the senior members in the then - opposition Labor party led by Kevin Beazley. After the leadership challenge within the Labor party, which led to the nomination of Kevin Rudd as Labor party leader, Penny was tasked with the portfolio of Public Administration and Accountability, Corporate Governance and responsibility and Workforce Participation.

Ms. Wong Goes to CanberraApart from her well-known tenacity and determination, Penny also fought for the preservation of the Asian language in schools and increased focus on Asian studies in Australian universities. She worked closely with Kevin Rudd, a scholar of the Mandarin language and former ambassador to Beijing, to open a petition on Asian language in schools. After the Labor Party’s ascendancy in the 2007 Australian elections, Prime Minister Kevin Rudd appointed Penny as the Minister for Climate Change and Water, and continued to work closely with her in the United Nations Climate Change Conference. Her appointment marks Penny as the first Asian-born member of the Australian Cabinet.

Following the recent elections, where the incumbent Labor party returned to power under Prime Minister Gillard, Penny was then appointed to her current position as Minister of Finance and Deregulation.

From Migrant to MinisterWhen Penny moved to the Adelaide Hills with her mother, Jane Chapman and brother Toby, they were met with awkward adjustment and challenges. The climate of racial politics and tension was high during the 1970s and it was a difficult time for her family to cope, eventhough her mother was Australian herself. It is testament to her family’s determination and strong-will that Penny, as a migrant Malaysian, is able to grow and become a powerful minority representation in government. Not only was Penny a race minority, she is the first openly gay serving female member of Cabinet.

Her personal story is a true success story of a migrantliving in Australia and her ongoing role in demonstrating the meritocracy, fairness and equal opportunity in the Australian system is a wonderful example of how Australia is indeed, a country like no other.

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ADELAIDE UNIVERSITY

Established: 1874Academic Staff: 1,353Students: 22,471 (Postgraduate & Undergraduate)Campuses: North Terrace (University of Adelaide, SA 5005) Roseworthy Campus (ROSEWORTHY SA 5371) Waite Campus (Waite Campus, PMB 1, GLEN OSMOND SA 5064) Thebarton Campus (3/49 Holland Street, THE BARTON SA 5031)Faculties: Faculty of Engineering, Computer and Mathematical Sciences Faculty of Health Sciences Faculty of Humanities and Social Sciences Faculty of the Professions Faculty of SciencesTelephone: +61 8 8313 4455Website: www.adelaide.edu.au

The University of Adelaide is the oldest university in South Australia and the third oldest in the country. Adelaide is also known as being the first for many things, such as the first University in Australia to admit women to academic courses (1881) and the first to grant a Science degree. The illustrious alumni at the University of Adelaide has yielded two Nobel

prize winners, a former president of Singapore (Ong Teng Cheong), Australia’s current finance minister (and Malaysian migrant) Penny Wong and most notably, Australia’s current prime minister, Julia Gillard.

The university has 4 campuses, namely North Terrace, Roseworthy, Waite and Thebarton and 5 faculties; the Faculty of Engineering, Computer and Mathematical Sciences, the Faculty of Health Sciences, the Faculty of Humanities and Social Sciences, the Faculty of the Professions and the Faculty of Sciences. The University of Adelaide has strengths in wine and food, health sciences, biological sciences, physical sciences, information technology and telecommunications, environmental sciences and social sciences.

Adelaide is a member of the Group of Eight, a coalition of Australia’s leading research-intensive universities. With an emphasis on research and new technologies, the University of Adelaide capitalises on its commercialising its research activities. In 2009, the University had a total research income of AU$147.8 million, spanning AU$74 million in competitive grants, AU$40 million in public sector research income, AU$29 million in industry and other funding and AU$4.8 million in cooperative research centres.

Adelaide also has a partnership with the Ngee Ann Kongsi of Singapore, collaborating on the Ngee Ann-Adelaide Education Centre (NAAEC) in Singapore.

UNIVERSITIESSOUTH AUSTRALIAN

A panoramic view of Goodman Crescent. Adelaide UniversityPhotographer: Randy Larcombe Mitchell

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FLINDERS UNIVERSITY

Established: 1966Academic Staff: 795Students: 16,629 (Postgraduate & Undergraduate)Campus: Sturt Road, Bedford Park, Adelaide, SA 5001

Faculties: Faculty of Education, Humanities, Law and Theology Faculty of Science and Engineering Faculty of Health Sciences Faculty of Social and Behavioural SciencesTelephone: +61 8 8201 3911Website: www.flinders.edu.au

Flinders University was founded in 1966 and it was named after famed navigator Captain Matthew Flinders, who popularised word ‘Australia’ and pushed for its adoption to refer to the continent (Australia was previously known as ‘New Holland’ and ‘Terra Australis’). The university coat of arms portrays a reproduction of Flinders’ ship ‘Investigator’, and an extract from Flinders’ book, A Voyage to Terra Australis.

Flinders has more than 160 undergraduate and postgraduate courses, as well as postgraduate research degrees across all disciplines. There are 4 faculties; the Faculty of Education, Humanities, Law and Theology, the Faculty of Science and Engineering, the Faculty of Health Sciences and the Faculty of Social and Behavioural Sciences, and all 4 faculties are located in the Sturt Road campus.

UNIVERSITY OF SOUTH AUSTRALIA

Established: 1991Academic Staff: 1,030Students: 36,850 (Postgraduate & Undergraduate)Campuses: City Campus (North Terrace, Adelaide, SA 5000) Magill Campus (St Bernards Rd, Magill, SA 5072) Mawson Lakes Campus (Mawson Lakes Boulevard, Mawson Lakes, SA 5095) Whyalla Campus (Nicolson Avenue, Whyalla Norrie, SA 5608) Mount Gambier Regional Centre (Wireless Road, Mount Gambier SA 5290) Faculties: Division of Business Division of Education, Arts and Social Sciences Division of Health Sciences Division of Information Technology, Engineering and the EnvironmentTelephone: +61 8 8302 6611Website: www.unisa.edu.au

Although UniSA was the last university to be established (in 1991), it came from a merger of the South Australian Institute of Technology and the South Australian Colleges of Advanced Education. It is the largest university in South Australia, with over 36,000 students. The UniSA faculties are arranged by 4 divisions, with the Division of Business, the Division of Education, Arts and Social Sciences, the Division of Health Sciences and the Division of IT, Engineering and the Environment.

A notable Malaysian alumni of the University of South Australia (when it was still SA Institute of Technology) is the late Datuk Robert Lau, former deputy transport minister, who was famously monikered ‘toilet king’ for his tireless efforts in promoting public restroom cleanliness during his time as local government and housing minister.

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PARENT VISA

What is it?The Parent Visa is a permanent visa for a parent of an Australian citizen, permanent resident or eligible New Zealand citizen who 18 years and above and wants to migrate to Australia. If the child is below 18 years old, the partner, relative or guardian, or a community organisation can sponsor the parent on behalf of the child. Sponsors acting on behalf of the child have to be an Australian citizen, permanent resident or eligible New Zealand citizen who is 18 years and above.

What does the visa allow?The Parent Visa (Contributory and non-Contributory) allows the holder to live in Australia as permanent residents. The visa holder is able to work and study in Australia, receive subsidised healthcare through Medicare and the Pharmaceutical Benefits Scheme (PBS), have access to social security payments (subject to waiting periods) and be eligible to apply for Australian citizenship. The visa holder is also able to sponsor people for permanent residence

What is the difference between a Contributory and a non-Contributory Parent visa?Here are the key differences between a Contributory and a non-Contributory Parent visa:

Published Timeline 2010-2011 Migration Program allocation

Visa Application Fee (1st Installment)

Visa Application Fee (2nd Installment) *paid for every secondary applicant

Contributory Within 2 years 7500 AU$1,735 AU$37,965Non-Contributory 10-15 years 1000 AU$1,735 AU$1,510

The Contributory Parent visa is a quicker route for permanent residency should the applicant choose to pay a significantly higher contribution towards their future health and welfare costs.

What is the Balance of Family test?The Balance of Family test is a criteria which qualifies an eligible Parent visa applicant. You are eligible for the Parent visa when:a) half or more of your children are permanently resident in AustraliaORb) you have more children permanently resident in Australia than any other single country.

VISAS ExPLAINED

Subclass 103 (Non-contributory) | Subclass 143 (contributory)

SummaryVisa Subclass: 103 (Non-Contributory), 143 (Contributory)Visa Type: PermanentEligibility: 50% of children permanently resident in Australia or more children permanently resident in Australia than any other country (Balance of Family test)Sponsor: Australian citizen, PR or eligible NZ citizen child (18 years and above) or partner (18 years and above)If the child is below 18 years, the child’s partner (18 years and above), relative or guardian (18 years and above) or a community organisation can be a sponsor

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The table below details the various scenarios of children living in Australia and other countries and the meeting the Balance of Family test.Total Number of Children

Number of Children Living in Australia

Number of Children Living in Other Countries Passes Balance of Family TestCountry ‘A’ Country ‘B’ Country ‘C’ Country ‘D’

1 1 Yes

2 1 1 Yes

3 1 2 No

3 1 1 1 No

4 2 2 Yes

4 1 1 1 1 No

4 1 2 1 No

5 1 1 1 1 1 No

5 2 1 1 1 Yes

5 3 2 Yes

6 2 2 2 No

6 2 1 1 1 1 Yes

How long does it take for me to obtain my Contributory/Non-Contributory Parent Visa? Can I get higher priority?Unlike the skilled migration stream, the parent visa processing is determined by allocation and the date of the application. On the date of the application, the Parent visa is placed in a queue order. There is no mechanism to move up or down the queue order as there are no priority levels. The only way to obtain a faster Parent visa is by applying for the Contributory Parent visa.

For the 2010-2011 Migration Program year, there are 1000 Non-Contributory and 7500 Contributory Parent Visa places allocated. A Contributory Parent Visa can expect between 18-24 months to a visa grant decision. Applicants in the Non-Contributory Parent Visa queue can expect between 10-15 years based on current planning levels.

What are the health considerations for a Parent Visa?It is important to remember that all parents must clear a medical exam. While they do not need to be in perfect health (many controlled problems like mild diabetes, hypertension, or cholesterol seem to clear regularly ), they must not be currently battling serious or costly illnesses. The decision is not made by the local panel doctor (who only reports the findings), but rather the doctors in Sydney. Their decision is final. Once the parent visa is secured, the parents will enjoy the national health care inside Australia.

What sort of assurances or support should my sponsor provide?An Assurance of Support (AoS) must be provided before a family visa grant. The AoS period is 10 years for the Contributory Parent visa and 2 years for the Non-Contributory Parent visa.

The AoS amount for the Contributory Parent visa is AU$10,000 and an additional AU$4,000 for each secondary applicant. For Non-Contributory, the AoS is AU$5,000 and an additional AU$2,000 for each secondary applicant. The AoS bond is held for the duration of the AoS period.

The AoS application and scheme is managed by Centrelink.

I have a friend who migrated on a Contributory Parent Visa, then brought his wife over on a Spouse Visa. Can this be done?Prior to 1 July 2009, this route of migration for both parents was possible, saving applicants thousands of Ringgits in additional 2nd VAC for secondary applicants. This was known as the split application strategy. On 1 July 2009, DIAC introduced a 5-year waiting period before a successful Contributory Parent visa holder can sponsor a partner.

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Superannuation (or “super”, as it is known by Aussies) can be topped up by personal contributions or other defined contributions.You only get to access your super funds when you reach the preservation age (which is at 60 years for the current generation of workers) or you turn 65 years old.

Here are a few questions regarding the Australian super.

Who is eligible for superannuation guarantee?You are entitled to super guarantee contributions from an employer if• you are less than 70 years of age and• you are paid a salary or wages of A$450 or more in a calendar month, and• you work full-time, part-time or casual

Permanent and temporary residents are also entitled to the super guarantee.

How are the super funds invested?When you are paid the Superannuation Guarantee, you may have a choice of choosing a super fund. There are 5 basic types of funds. These are:• Public sector funds: generally open to Commonwealth, state and territory government employees.• Corporate funds: generally only open to people working for a particular employer or corporation.• Industry funds: you can join if you workin a particular Industry and your employer signs up with the fund.• Retail funds: These funds are open to everyone. They are run by financial institutions.• Self-managed super funds (also called SMSFs): SMSFs work like any other super fund, but the responsibility of managing it rests solely with the trustee (you).

Can I access my funds early?Super funds are governed by strict government rules and can only be accessed before retirement or the preservation age in very limited and restricted circumstances, such as severe financial hardship or on limited compassionate grounds.

Is the superannuation taxed?Yes, super taxes are at 15% although the average rate is around 6.5% due to refund of dividends imputation, capital gains on assets and other tax credits and exemptions. There are three points where super is taxed, upon contribution, upon investment income earnings and upon benefits withdrawal. The taxation upon withdrawal is dependent on whether it is a lump sum figure or pension, payment to dependent or non-dependent, or death or disability. There are also tax-free thresholds

(for 2010/2011, the tax-free threshold is AU$160,000) for withdrawals.

Australia derive substantial government revenue from the taxes of the super. Although taxed, the super is still an advantageous method of savings, as the rates are substantially lower than the equivalent income tax rate if the super were to be reported as income.

Can I make a personal contribution to the super?Yes, it is possible to make personal contributions to your super, similar to the employee contribution portion of the EPF. For low-income earners, the government also makes a token co-contribution to your super as a ratio of your personal contribution.

Basically, superannuation in Australia is what EPF is in Malaysia. It is a retirement program where employers pay a fixed proportion of the employees salary into a superannuation fund, which the employee can access when eligible. The current rate for the Australian employer superannuation portion is 9% of ordinary time salary. This form of contribution is called the Superannuation Guarantee.

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FIRST HOME OWNERS GRANTSOUTH AUSTRALIA

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Australia has a financial incentive scheme to encourage people to be home owners called the First Home Onwers Grant, or FHOG. If you are a new PR in Australia and you are buying your first home, you would be able to apply for FHOG. The FHOG program differs by state, with some state offering varying levels of bonuses and qualifying property criteria. We will take a look at the FHOG specifically for South Australia.

First Home OWNERS GrantIn South Australia, eligible first home buyers can access the FHOG of AU$7,000. The first home can be a new or established dwelling, including a house, flat, unit, townhouse or apartment in South Australia. The property must be used as a principal place of residence (i.e. a ‘home’) within 12 months from the date of construction completion (for new homes) or 12 months from the date of settlement (for established homes). On 17 September 2010, the Government of South Australia introduced a property value cap of AU$575,000 to be eligible. This means that if you are purchasing a property of AU$575,001 or more, you would not be able to qualify for the FHOG. This property value cap is reviewed annually and it cannot be less than 1.4 times of Adelaide’s median house price, which according to the June 2010 median house price data, was at AU$410,000.

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Scenario 2: If the property has a market value of AU$395,000, the home owner would receive:

FHOG AU$7,000 in full

FBOG AU$8,000 in full

Total grant AU$7,000 + AU$8,000 = AU$15,000

The FHBG is usually processed along with the FHOG and it would be issued as a single payment. In some instances, it may be paid after the home owner has received the AU$7,000 for the FHOG. The grant that is given can be used for any legal purpose, not just towards the repayment of the home. As long as you are eligible to receive the grant, there are no requirements or restrictions imposed on the use of the grant.

The grant is usually paid upon settlement for the payment for existing homes, or upon the first progress payment to the home builder. If you are an owner builder, the payment is made following the receipt of a Statuary Declaration that states that the home is complete and ready to be occupied as residence.

The First Home Owner Grant scheme (and the accompanying FHBG) is an ongoing initiative by the SA government. Although the amounts and qualifying home criteria may be adjusted, there has been no indication that the scheme would end in the near future. New migrants to Australia are always reminded that as PR, they would enjoy the privileges of the FHOG, which goes a long way in helping its residents in purchasing properties that they can afford. Please speak to your Global Migration Solutions representative to enquire about the FHOG scheme for eligible permanent residents.

First Home BONUS GrantFor eligible FHOG applicants, the SA government has an additional First Home Bonus Grant (FHBG) on top of the FHOG of AU$8,000 for the purchase or construction of new homes in relation to eligible transactions entered into on or after 17 September 2010. However, the FHBG in full is only available for first home purchases with a market value of up to AU$400,000. The amount decreases by AU$16 for every AU$100 in excess of AU$400,000 until AU$450,000, after which it would no longer be applicable. Please refer to our example below for the full details:

First Home Owners Grant (FHOG) Qualifying PropertiesHome market value AU$575,000 and

belowAU$575,001 and above

Grant Amount AU$7,000 n/a

First Home Bonus Grant (FHBG) Qualifying PropertiesHome market value

AU$400,000 and below

AU$400,001 - AU$450,000

AU$450,001 and above

Grant Amount AU$8,000 reduced by AU$16 for every AU$100

n/a

Scenario 1: If a permanent resident purchases a property with a market value of AU$420,000, the home owner would receive:

FHOG AU$7,000 in full

FBOG AU$8,000 - (AU$16 x AU$20,000 ((Market value of property - AU$400,000) / AU$100)) AU$8,000 - AU$3200 = AU$4,800

Total grant AU$7,000 + AU$4,800 = AU$11,800

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Q 1. I’ve heard of the First Home Owners Boost that provided up to AU$14,000 in addition to the grant. Is this still applicable?The First Home Owners Boost was a temporary boost to increase the amount that eligible home owners would get from the First Home Owners scheme. This program has been discontinued and has ceased to apply as of 1 January 2010.

Q2. My spouse/domestic partner has previously owned a home. Am I eligible?If your spouse/domestic partner owned the home prior to 1/7/2000 you are not eligible. If the home was purchased on or after 1/7/2000, and your spouse/domestic partner did not occupy the home, you may be eligible. Your spouse/domestic partner must be included on your application.

Q3. If I am buying a home in my name only, must my spouse/domestic partner be included on the application form?Yes. The criteria applies to both the applicant and the applicant’s

spouse/domestic partner. If your spouse/domestic partner will/does hold a relevant interest in the home they must complete the applicant component of the application form. If not, they must complete the declaration by spouse/domestic partner component of the application.

Q4. If I am divorced, and my previous spouse/domestic partner owned a home that I had no interest in, am I eligible for the Grant?If you are divorced/separated, you are not required to consider the ownerships of your previous spouse/domestic partner. You will be eligible for the Grant provided that you have not had a relevant interest in a previous property and you meet all other eligibility criteria.

Q5. I previously owned a home overseas. Am I still eligible?Yes, the rule regarding previous ownership only applies to homes within Australia.

Q6. Do I get the Grant if I previously owned a business

premise?Yes, a business premise is not considered a home for FHOG purposes unless it was used jointly as residential/ business.

Q7. Can I receive the Grant for an Investment property?You cannot receive the Grant for an investment property. The property must be occupied as your principal place of residence to receive the Grant.

Q8. Can I purchase a percentage of a home with someone who has had a previous interest in a property?No, all applicants receiving the Grant must have a combined 100% interest in the property they are purchasing and it must be the first home for all applicants. There is a limit of one Grant per application.

Q9. I wish to gift residential property to my son/daughter, is he/she eligible for the Grant?No, the Grant is only given when there is consideration and a contract. The Grant is equal to the consideration i.e. if you pay

$2500 for a property that is the amount you will receive for a grant.

Q10. Is each applicant entitled to the Grant?No. Applicants are restricted to one application per eligible transaction. Grant payments will not be split.

Q11. Is there a means test on income or assets to qualify for the Grant?No, personal income or wealth is not part of the eligibility criteria.

Q12. If I purchase a home and receive the Grant, but sell it 6 months later, do I have to refund the Grant amount?No, providing that:-• for eligible transactions entered into between 1 July 2000 and 31 December 2004, you did occupy the home as your principal place of residence within 12 months of the date of settlement or completion of building; or• for eligible transactions entered into on or after 1 January 2005, you did occupy the home as your principal place of residence for a continuous period of at least 6

months commencing within 12 months after the date of settlement or completion of building.

Q13. Will an applicant be expected to pay back the Grant if they are found to have not met the eligibility criteria?Yes. In addition, substantial penalties can be applied if it is found that the applicant acted dishonestly. The penalties are as follows:• A penalty of up to $20,000 or imprisonment for 2 years for making a false or misleading statement in or in connection with an application for a first home owner grant as specified in the First Home Owner Grant Act 2000.• A penalty of up to 100 % of the Grant amount may be imposed by the Commissioner as a result of an applicant’s dishonesty where an amount is paid by way of a first home owner grant, along with repayment of the Grant pursuant to the Act.

Source: www.revenuesa.sa.gov.au

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