A super opportunity

While the contribution limits for super have gone down this year, there’s still opportunities to take advantage of the generous tax environment super offers.

Make the most of your before-tax contributions

Concessional contributions are contributions you can make to super with your before-tax salary. For most people concessional contributions are taxed at just 15 per cent — not your marginal tax rate. That’s a big tax cut and puts your money to work — in your super account.

This financial year, you’re allowed to contribute, or ‘salary sacrifice’, $25,000 of concessional contributions. Remember — your employer’s 9.5 per cent compulsory contributions count towards your concessional contributions. And, from 1 July 2018 new rules let people with total super balances under $500,000*, ‘carry forward’ up to five years of the unused portion of their concessional contributions cap.

How do you get started?

Whether you’d like to make a one-off contribution or set up an ongoing arrangement, speak to a Bridges financial planner and contact your employer’s payroll department.