Can You Use Superannuation to Pay for Weight Loss Surgery?

Weight loss surgery in Australia is partially covered by Medicare and most private health insurers. However, the cost of weight loss surgery is still extremely high - procedures range from $18,000 to $20,000. To pay for the procedure, it is possible for candidates to access their superannuation early for weight loss surgery. 

Can you access super funds for weight loss surgery?

Yes — weight loss surgery procedures such as gastric sleeve and laparoscopic gastric bypass are considered by the ATO as valid medical treatments that are eligible for early access to super funds on compassionate grounds. 

This avenue opens up an opportunity for individuals who need weight loss surgery but are unable to cover the costs with their personal funds and medical insurance coverage. Eligible individuals will be able to access their super funds to cover the cost of weight loss surgery in part or in full, depending on how much financial assistance they need. 

Individuals who have already borrowed funds to pay for weight loss surgery may also be able to access their super funds to repay the outstanding amount. However, this will involve additional steps and eligibility requirements during the application process. 

Eligibility criteria for compassionate release of superannuation

Applicants need to meet eligibility requirements to be approved for the compassionate release of superannuation funds: 

• Applicants must be a citizen or permanent resident of Australia or New Zealand. Temporary residents are not eligible to apply.

• Applicants must be eligible for the weight loss surgery procedure - the procedure must be necessary to treat a life-threatening illness or injury, or to alleviate acute or chronic health conditions. 

• Expenses of the weight loss surgery procedure must be unpaid or paid for with a borrowed amount that is still outstanding.

• Applicants must be unable to cover the expenses involved without accessing their super. ATO will take into consideration whether applicants will be able to pay for the expense if they go through other ways (personal savings, selling investments). 

Accessing compassionate release of superannuation funds is also possible for individuals who need the funds to cover the expenses of weight loss surgery for dependents. In such cases, applicants will also need to provide evidence of the dependent relationship between them and the individual they wish to support financially. 

How to access superannuation for bariatric surgery 

Accessing superannuation for weight loss surgery is a relatively straightforward process — our team at Central Coast Surgery can provide you with step-by-step guidance to obtain approval.

1. Check your super fund

The first step is to contact your superannuation fund to check if they allow for your funds to be released early. You should inform them about the reason for the early release, and also check that you have enough funds to cover the expenses of the surgery. 

2. Get in touch with Central Coast Surgery

When you are ready, give us a call to book a date for the surgery. We will also provide you with two forms that you will need to apply for compassionate release of superannuation. One of these forms will be signed by our surgeon, Dr Ken Wong, and the other form will need to be signed by your GP doctor. Be sure to sign both forms yourself and ensure that all the relevant details are filled out correctly. 

3. Gather supporting documents

You’ll need to provide evidence of your eligibility as part of the application process — evidence will include the costs of the surgery (which we will provide in the form of quotation documents), as well as your personal documentation. 

4. Apply for early access to your super funds

Log in to your myGov Account on the ATO website and apply for the early release of your superannuation on compassionate grounds. You will be prompted during the application to upload supporting documents. 

5. Wait for approval 

ATO will assess your application and eligibility — if you have submitted online, this process will typically take up to 14 days (paper applications can take up to 28 days). During this period, ATO may reach out to you to obtain further information, usually regarding the expenses of the surgery; our team will be available to assist by providing additional documentation if necessary. 

You will be notified of the outcome via phone, SMS text message, as well as a notification in your myGov inbox. 

6. Arrange the release of money 

Upon approval, you will be given an approval letter. ATO will also notify your super fund of the approval. From here, you can contact your super fund to arrange for the transfer of the requested funds from your super into your bank account. Each super fund has its timeframes for releasing the funds; you may wish to ask them about how long it will take to ensure that you receive the funds on time for the surgery date. 

7. Make payment 

Make the necessary payment using the funds. Be sure to keep all receipts from involved transactions — these will be useful later on during tax time to provide ATO with evidence of how the released super funds were spent. If you have any excess funds left over from the required payments, they can be reinvested into the super fund. 

Transform your life with weight loss surgery 

The cost of weight loss surgery should not be a limiting factor for enjoying a healthier and more fulfilling life. If you are eligible for weight loss surgery, we encourage you to get in touch with Dr Ken Wong to understand the benefits that it can have on your life, and how you can experience greater freedom and comfort. 

With the option to access your super funds for weight loss surgery, you can start your journey towards your ideal weight and lifestyle without having to worry about not having enough resources to do so. Get in touch with Central Coast Surgery to find out more about our gastric sleeve procedures in Newcastle, as well as how we can help with accessing your super funds.