Posted in Retirement

SMSFs - Keeping it in the Family Self managed super funds (SMSFs) can offer their members many benefits, but one that is often overlooked is their potential as a multigenerational wealth creation and transfer vehicle. Family SMSFs are relatively rare. According to the most recent ATO statistics (2022-23), the majority of SMSFs (93.2 per cent) have only one or two members.i Just 6.6 per cent have three or four members and only 0.3 per cent have five or six members (the maximum allo...

New Increased Super Contribution Caps As the end of financial year gets closer, some investors are thinking about the most effective ways to boost their super balance, particularly with an increase in the caps on contributions from 1 July. The concessional contributions cap, which is the maximum in before-tax contributions you can add to your super each year without paying extra tax, is increasing to $30,000 from $27,500 in the new financial year.i The cap increases in line with average we...

Understanding the new $3m super tax The much-debated tax on superannuation balances over $3 million is inching closer and those who may be affected should ensure they have considered the implications. Although it is not yet law, the Division 296 tax should be taken into account when it comes to investment strategy and planning, particularly in relation to any end-of-financial-year contributions into super. Tax for higher account balances The new tax follows a Federal Government annou...

As our superannuation balances grow larger, it makes more sense than ever to keep track of the many rules changes that have recently happened or are coming up soon. Australians are investing more in super - almost $151 billion dollars in the year ending March 2023, an increase of 11.3 per cent.i Those extra contributions, plus the rebound in the financial markets, have resulted in super assets of around $3.5 trillion.ii And it is being put to good use. We took out lump sum payments totalli...

Retirement is a phase of life most of us look forward to. It’s a chance to pursue other interests, travel and maybe do some part-time work or volunteering. Thanks to more than 30 years of compulsory superannuation, we are also retiring with more savings than previous generations and have higher expectations of the lifestyle we wish to enjoy. But that also brings its challenges. According to the government’s Retirement Income Review, the average age of retirement in Australia is ...