Menu
 
Financial Planning eNewsletter February 2014 
 
 

Brought to you from Derek Fitzgerald

Partner and Financial Planner

 

 

 
 
 
 
 
 
Want to contact us?
Call on 49 577 574 or
Email  enquiries
@power2.com.au



 
Superannuation Update
 

The Australian Taxation Office (ATO) has just announced increases to some important superannuation thresholds. 


Superannuation Concessional Contribution limit

Concessional contributions are generally those related to employment. Remember, any reference to concessional contribution caps must include your employer's standard 9.25%.

For the current Financial year the limits are:

• For people under 60 - $25,000.
• For people over 60 or turning 60 in 13/14, the limit is $35,000.

Applying from next Financial year (2014/2015), the caps are:

• For people under 50 - $30,000.
• For people over 50 or turning 50 in 14/15, the limit is $35,000. 


Non-Concessional Contribution Cap

Non-concessional contributions are those made to superannuation from after-tax money. Most common examples are from property sales or inheritances.

The non-concessional cap is calculated at 6 times the lower concessional cap. The limits are therefore (inclusive of ages 18 -74, but subject to some work testing):

• 2013/2014 = 6 x $25,000 = $150,000
• 2014/2015 = 6 x $30,000 = $180,000

People under 65 are able to bring forward 3 years' worth of contributions in some circumstances:

• 2013/2014 = 6 x $25,000 = $150,000 x 3 = $450,000
• 2014/2015 = 6 x $30,000 = $180,000 x 3 = $540,000 


Conclusion

We will be reviewing your situation in the coming months to ensure your strategy aligns with these changes. As always, any questions, please do not hesitate to contact us.

Derek Fitzgerald
CERTIFIED FINANCIAL PLANNER® professional
Authorised Representative of AFSL 307169