The measure was first announced in the budget this year and is restricted to those with a total superannuation balance below $300,000.

“Essentially, what it’s doing is encouraging people who are over 65 with less than $300,000 in super to make a non-concessional contribution to super,” explained Mr Burgess.

However, he warned SMSF professionals that it may not always be in the client’s interests to contribute to super under this measure, given that it’s restricted to those with lower balances.

“Now, I would think that for a lot of clients in that situation, it’s probably best that they don’t make a contribution to super from a tax perspective,” he cautioned.

“They may not be paying tax outside of super so making a contribution to super and paying 15 per cent tax on the earnings is probably not a good result for them.”

Where the measure might have merit, he said, is for small business owners who are selling their business and don’t have a lot in super.

“This kind of arrangement will give them some extra flexibility to make further contributions even though they haven’t met the work test in a particular year,” he said.