With the end of financial year fast approaching now is a good opportunity to review your super savings with your adviser. More and more people are finding that a conversation at this time can help them build for a better lifestyle tomorrow – with the added potential of saving on tax this financial year.
By topping up your superannuation with some of your pre-tax salary you could reduce the amount of tax you pay this financial year. You can contribute up to $30,000 of your pre-tax salary to super this financial year (including your employer’s contributions) and have those contributions taxed at 15% (or 30% if you earn more than $300,000 a year) instead of your personal income tax rate which is usually higher.
If you have a partner who isn’t working or is earning less than $10,800 this financial year, you may be able to claim an 18% tax offset on the first $3,000 of after-tax contributions you contribute to their super account.
Having more than one super account means that you could be losing money by paying multiple sets of fees. A way you could avoid this is by consolidating your super. Speaking to an expert can help determine whether these strategies are right for you.
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