With the recent release of the latest Average Weekly Ordinary Time Earnings (AWOTE) statistics, we now have confirmation of the upcoming changes to superannuation contribution caps moving forward from 1 July 2024.
Concessional cap increase (for pre-tax contributions)
Increase of $2,500 per year (from $27,500 to $30,000) for tax-deductible contributions.
Non-concessional cap increase (for post-tax contributions)
Increase of $10,000 per year (from $110,000 to $120,000) for after-tax contributions.
What does this mean for you? Depending on your circumstances, this could mean lowering your income tax for the year whilst boosting your funds for retirement, reducing the potential tax to your estate if something were to happen to you, or even maximising social security entitlements now or into the future.
So, if you’re still working, have excess cash available, or wish to discuss how these changes could benefit you, now is a great time to reach out to your Adviser to discuss how to maximise the opportunities available to you.
