Here are six SUPER contribution tips you need to get your head around, before the 2015/16 financial year end, from our experts in the field – CXC Financial Partners.
Tip # 1
You might consider making a non concessional or after tax contribution to your Superannuation. The good news with this type of contribution is that earnings will be taxed at a maximum of 15%.
If you invest outside of Super, earnings are taxed at your marginal tax rate – as high as 49%!
If you are self-employed you may like to make Concessional Contributions to Superannuation before 30 June 2016. The full amount may be tax deductible.
Consider salary sacrificing your June pay to Superannuation to utilise your concessional contribution caps.
Alternatively, set-up a salary sacrifice arrangement now for the 16/17 financial year in case the annual limits reduce on 1 July 17.
If you earn less than the threshold you may be entitled to a Government co-contribution of up to $500 if you make an after-tax contribution to your Super.
If you make an after-tax contribution of up to $3,000 to your spouse’s Super by 30 June 2016, you could receive a tax offset of up to $540. You need to ensure your spouse’s income is below the maximum!
As with any of these Superannuation tips – be sure to remain within your contribution caps to avoid excess tax or penalties!
Pre-pay your income protection insurance premiums for up to 12 months. This can allow you to bring forward a tax deduction from next year.
If you’d like to speak with a qualified financial adviser or accountant please contact CXC Financial Partners on 1300 925 081 or via email at email@example.com.
At CXC Financial Partners, we bring together all your financial experts under the one roof. It’s a truly holistic approach, where your financial planner, accountant, mortgage broker, investment and property advisors actually meet face-to-face to focus on just one thing – your unique financial goals. Each brings their own expertise, while together they are accountable for executing an integrated plan to supercharge your financial well-being.
The above is not to be construed as personal financial advice, taxation advice, a recommendation or an offer or invitation to buy, sell or hold a financial product. It is for general informational purposes only. We recommend that you seek personalised advice from a qualified Financial Planner.