Boost your super Show more
Boost your super
Make sure you have enough
With a couple needing $59,619 each year for a comfortable retirement, over 75%* of us are likely to outlive our super.
So it’s important not to just rely on your employer’s contributions, but to tip in extra to help ensure you have enough for retirement.
You can add to your own super with tax-effective salary sacrifice payments as well as after-tax personal contributions. The sooner you start putting money in, the longer it has to grow.
Salary sacrifice Show more
More super with less tax.
With salary sacrifice, you may be able to ask your employer to pay in extra super for you, taking the money from your pre-tax pay. For most people, this money is taxed at just a maximum of 15%, so it can be a tax-effective way to save. If your income exceeds $250,000, this rate is 30%. Contribution caps apply to effectively limit the amount of salary sacrifice.
Personal contributions Show more
Know your limits.
Contributions made into your super ‘before-tax’ are concessional contributions. They include compulsory Super Guarantee, salary sacrifice and personal tax deductible contributions.
You can make payments to your super from your after-tax money, called non-concessional contributions.
If you earn $36,813 or less (2017/2018) and make a personal non-concessional contribution, you may be eligible for a government co-contribution payment of up to $500 into your super. This maximum co-contribution payment reduces where your income exceeds $36,813 and is nil if your income is $51,813 or more.
If you have more than one fund or account, contributions made to all of your funds and accounts are added together and counted towards the contributions caps.
|FY 2017/2018||Concessional contributions cap||Non-concessional contributions cap|
|Amount||$25,000 (all ages)||
If your total superannuation balance at 30 June 2017 is $1.6 million or more, cap is nil.
Under age 65 on 1 July 2017: Members have the option of contributing up to $300,000 over a three-year period, depending on their total superannuation balance. Transitional arrangements may apply. See ATO website for more information: www.ato.gov.au/Individuals/Super/Super-changes/Change-to-non-concessional-contributions-cap/
Between age 65 and 74 (upper age limit is 28 days after the month the member turns 75): members must have been gainfully employed for at least 40 hours over 30 consecutive days in the financial year in which the contribution is made.
|Tax rate if within the cap||15% (An additional 15% tax may apply to high income earners where income exceeds $250,000)||Nil|
|Tax rate if cap exceeded||
Excess concessional contributions are included in your assessable income and taxed at your marginal rate. You are entitled to a 15% tax offset for the tax paid by the super fund. An excess concessional contributions charge also applies.
You can elect to withdraw your excess concessional contributions, in which case they will not count against your non-concessional contributions cap.
If you withdraw your excess non-concessional contributions and associated earnings, the associated earnings are included in your assessable income and taxed at your marginal rate. You are entitled to a 15% tax offset for the tax paid by the super fund.
If you choose not to withdraw the amount, you will pay 47% tax on excess non-concessional contributions.
Get ahead with ANZ Smart Choice Super
Important Information Show more
Source: ASFA Retirement Standard, December 2016. For further information on the standards, including the definitions of modest and comfortable lifestyles, and the calculations of their respective household budgets, visit the ASFA website.
Australian Bureau of Statistics, Australian Demographic Statistics, June 2011.
Case Study: Example for illustrative purposes only and does not constitute financial or tax advice. It assumes $90,000 p.a. is the only source of income, based on 2017/18 tax rates, including Medicare levy of 2%. Excludes any Medicare levy surcharge and seniors and pensioners tax offsets. Please see your tax adviser on how this impacts you individual circumstances.
All fees are subject to change. Other key features are relevant when choosing a super fund, including performance.
Before redirecting your super or moving your money into ANZ Smart Choice Super and Pension, you will need to consider whether there are any adverse consequences for you, including exit fees, other loss of benefits (e.g. insurance cover), increase in investment risks and where your future employer contributions will be paid.
Taxation law is complex and this information has been prepared as a guide only and does not represent taxation advice. Please see your tax adviser for independent taxation advice.
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ANZ Smart Choice Super and Pension is issued by OnePath Custodians Pty Limited (ABN 12 008 508 496, AFSL 238346, RSE L0000673), a wholly owned but non-guaranteed subsidiary of Australia and New Zealand Banking Group Limited (ABN 11 005 357 522) (ANZ).
This information is of a general nature and has been prepared without taking account of your personal needs, financial situation or objectives. You should consider the appropriateness of the information, having regard to your objectives, financial situation and needs. You should read the ANZ Financial Services Guide, Product Disclosure Statement, Additional Information Guide and the Electronic Access Terms and Conditions before deciding to acquire or hold ANZ Smart Choice Super and Pension.