This is a reminder for everyone to check prior to 30 June 2015:
- Concessional Contribution – Check that you haven’t breached the $30,000 employer contributions limit (or $35,000 if you are over 50 years) if you have been salary sacrificing into super. If you do want to claim the amount contributed, ensure that the amount has been cleared and receipted by your super fund’s bank account by 30th June 2015;
- Government Co-contribution – The Government Co-contribution is another benefit available to low income earners. This is where the Government will pay up to $500 on $1,000 of after-tax contributions – and is available to individuals under age 71, earning ‘assessable’ income of up to $49,488 and at least 10% of their income comes from eligible employment. The full Co-contribution is payable where your ‘assessable’ income is $34,488 or less and phases out up to $49,488 when the benefit cuts out completely; and
- Pensions – If you are receiving a pension from your super fund, please make sure you take at least the minimum pension amount required by 30 June 2015. Note that if you do not take at least the minimum pension, your the super fund will not receive the pension tax exemption and will pay 15% tax rather than 0%. If you are unsure about your pension payment amount for the current year please contact us.
Also note that 30 June 2015 is a Tuesday this year; therefore you will need to make your super contributions by Friday 26 June 2014 or preferably beforehand, as the fund must have received the contribution by this date. Please note that internet transactions made on Tuesday 30 June 2015 will most likely not be counted for the current year as the transaction receipt will be dated 1 July 2015, not 30 June 2015.
If you would like further information on these rules please contact Simon Flowers or Cathy Walley.
