News Update: $ 500K Lifetime Cap Scrapped

As predicted in issue 3 of our SMSF Platinum Series, the first casualty of the government’s super reforms is the $500K lifetime cap on non-concessional contributions. In a compromise, the $500,000 cap backdated to 2007 has been removed and replaced by a mechanism in which people would be able to make both concessional and non-concessional contributions … Continued

Read More >>

Super Guarantee: “Employees” or “Independent Contractors”?

The superannuation guarantee scheme requires all employers to provide a minimum level of superannuation support for their employees, but not for independent contractors. A key area of dispute which can arise between taxpayers and the ATO is whether workers are “employees” or “independent contractors”. An “employee” for superannuation guarantee purposes includes anyone who is an … Continued

Read More >>

Check Your Superannuation Salary Sacrifice Arrangements

Individuals with superannuation salary sacrifice arrangements should consider reviewing their arrangements in light of the gradual increase to the superannuation guarantee rate. Salary sacrificing super and the superannuation guarantee rate increase both help to boost retirement savings. However, it is important for individuals to review their circumstances and identify any adjustments to suit their needs. … Continued

Read More >>

Extra Tax for High Earners, no Relief from Excess Contributions Tax

Among recent changes related to superannuation taxes are: Extra 15 percent super contributions tax for high income earners The superannuation law has recently been amended so that the effective contributions tax for certain concessional contributions (up to the concessional cap) has been doubled from 15 percent to 30 percent for “very high income earners”.

Read More >>