Deductible Contribution Opportunity

Deductible Contribution Opportunity

15:06 23 March in SMSF

If you want to reduce your personal tax this year, you are able to take advantage of changes to the Superannuation contribution rules.

In the past, unless you were salary sacrificing, salary and wage earners were not able to contribute to Super to reduce their taxable income.  This was previously called the 10% Self Employed Rule.

That has now been abolished, so before the end of this financial year you have the ability to contribute money as a concessional contribution and then claim it as a deduction.  Please remember that if you want to claim a deduction for your contribution, then it will attract 15% tax payable by your Superannuation fund. There is a $25,000 cap on your concessional contributions every year.  Salary Sacrifice and Employer contributions all add up to your contribution cap.

Please speak to Supervision if this is something you would like to do.