It’s Time For Some Superannuation Planning!
With the end of the financial year fast approaching now is a good time to consider some superannuation planning.
Superannuation – Minimum Pension Withdrawals:
As usual it is important heading up to the end of the financial year to check that at least the minimum pension payments have been made prior to 30 June 2016. Failing to make at least the minimum payment can result in the pension being deemed to have ceased at the start of the financial year – leading to tax serious consequences for the fund and the member.
Superannuation – Contributions:
Before making any last minute superannuation contributions it is important to note the contributions caps for the year ended 30 June 2016, as specified below:
| Under 50 years at 30 June 2016 | 50 years old or older at 30 June 2016 |
| $30,000 | $35,000 |
It also important to remember, before making contributions close to the end of the financial year, that contributions count in the year in which they are received by the superannuation fund, not when they are paid.
Even being out by one day could mean the contribution is counted in the subsequent financial year, so when making any contributions ensure you consider the timing of the contribution(s) to allow the monies to be credited to your superannuation account by 30 June 2016.
Equally consideration should be given to the other rules for contributions, such as the work test for people 65 years of age or older, or the 10% rule for personally deducted contributions.
If you have any queries in relation these matters please contact Voletta on 97544144 or voletta@staaccountants.com.au
