Understanding the new work test exemption rules may enable individuals to maximise their contributions to super and thus their tax effective retirement savings.
Tag Archives | super contributions
Three weeks to go before the EOFY is still enough time to comply with the rules and make the most of superannuation and income tax opportunities. Here’s a quick checklist.
The extra 15% Division 293 tax slips easily under the radar, and most people do not realise how it is calculated and how the proposed Labor policy might now capture them.
The Total Superannuation Balance is an important factor in changes to super and SMSF rules that took effect in the current financial year. Understanding the rules can maximise superannuation opportunities.
A couple can benefit if the person running against the $1.6 million cap on super pension balances contributes to the spouse’s super. It’s worth checking the eligibility requirements and tax offsets.
There are strategies for this EOFY which could reduce your tax bill while supporting other objectives such as charitable giving, insurances, personal or spouse super contributions, or asset purchases for business.
Peter Costello’s 2007 changes made payments from superannuation tax free after age 60 for those who are fully retired. Is he responsible for making super unaffordable which is now forcing policy changes?
The old investment rule that assumed the majority of retirement income would come from late-stage earnings no longer applies when returns are low, placing more importance on early accumulation.
It is not a standard end of financial year, as there are many items SMSF trustees and super members should check immediately, especially with the changes taking effect from 1 July 2017.
Deferring concessional contributions to a year when an individual’s taxable income is higher by making ‘catch-up’ contributions can create a sizable tax arbitrage between tax paid within the fund and tax paid personally.
Payments in and out of SMSFs involve legal grey areas where contributions could be made unintentionally and benefits might not be considered paid as intended. Watch those flows.
One consequence of the proposed super changes might be that keeping money in super is no longer the best option, especially due to new anti-detriment rules. There are many unexpected consequences now surfacing.
When industry, regulators and academics met to discuss the direction of superannuation research, a number of key themes emerged, showing where our super system is evolving to.
Concessional contributions can include tax-deductible super contributions, where an individual claims a deduction. The ATO can confirm your eligibility which generally requires you to meet one of three conditions.
Every SMSF owner should take an interest in David Murray’s Financial System Inquiry because it asks some fundamental questions including issues around limitations, tax breaks, contribution limits and more.
If you want to make the most of the recently increased superannuation personal contribution limits, here is a timely explanation of how to use the ‘bring forward’ rule to your advantage.