Supersize your superannuation this EOFY
There’s no time like the present when it comes to planning your retirement and boosting your superannuation contributions.
There’s no time like the present when it comes to planning your retirement and boosting your superannuation contributions, particularly with the end of financial year upon us.
Michael Huynh from our partners at Wealth Protect Financial Services shares six great tax-effective tips to help build your nest egg and set you up for a comfortable retirement.
1. Salary sacrifice
Sacrificing part of your pre tax salary or bonus into super is one of the most popular and easiest ways to bump up your super. Michael also highlights there is also the potential to reduce your tax by 34% by salary sacrificing.
2. Make tax deductable super contributions
If you don’t work or are self-employed you won’t be receiving super from an employer but that doesn’t mean you can’t still contribute, and if you do you may be able to claim it as a tax deduction.
3. Make after tax contributions
If you cash out an investment such as managed funds, property or shares you can put the proceeds into super, potentially reducing the tax you pay on the investment earnings by 34%.
4. Manage your capital gains tax through super
If less than 10% of your income comes from eligible employment and you are considering selling an asset this year, Michael recommends considering investing some or all the proceeds into super.
This way, you may be able to claim some of the contribution as a tax deduction to mitigate the assessable capital gain and subsequent tax amount you have to pay.
5. Get the government to chip in
If you have earned less than $51,020 this past financial year and at least 10% of that was from a job or business, Michael suggests you consider making an after tax super contribution. By doing so the government may also chip in up to $500.
6. Boost your partner’s super
If your spouse earns less than $13,800 per year it may be beneficial to make an after tax contribution into their super. Not only will this give their super balance a boost but there may also be a tax benefit in it for you of up to $540.
Book your complimentary review
All Blackburne Mortgage Broking clients benefit from a complimentary annual review with Michael and his team at Wealth Protect Financial Services and we highly recommend that all our clients take advantage of this valuable service.
To book your obligation free consultation call Blackburne Mortgage Broking on +61 8 9429 5794 and ask to speak to Paul Prindiville, Mortgage Broking Team Leader, or complete the enquiry form below.