This year’s Federal Budget includes the most significant changes to Australia’s superannuation system since 2007.
Key Budget announcements include:
- reduced caps on concessional and non-concessional super contributions
- tax offsets for low income earners and those with low super balances
- reduced tax concessions on super contributions for high income earners
- limit on pension balances of $1.6 million per person
A lifetime cap of $500,000 for non-concessional contributions has been introduced, effective immediately. This replaces the existing annual cap of $180,000 (or $540,000 every three years under the bring-forward rule).
The lifetime cap takes into account all non-concessional contributions made from 1 July 2007.
Please contact our office to see if you are under the $500,000 non- concessional contribution cap before making further non concessional contributions.
For more details please click on the below link and please note these changes are not yet law.