Money Doesn’t Come Without Guidance ...
If you want to boost your retirement savings, a great way is to make additional contributions to super. But there are some limits to how much extra you can put in. If you contribute above these limits, you may have to pay extra tax. So, it’s worth to choose the right amount of concessional super contributions.
Concessional contribution is also known as before-tax contributions which generally includes the following:
If you have more than one concessional contributions, then all of your contributions will be added together and counted towards the concessional contributions cap. So, it’s better to know the limit of concessional super contributions in order to avoid paying extra tax. Concessional contributions are subject to a yearly cap. Following table shows the concessional contribution caps:
|Income Year||Age less than 50||Age 50 years and above|
The amount of your excess concessional super contributions will be included in your assessable income and you may have to pay your marginal tax rate on the excess amount.