Much of the focus from the Federal Budget has been on the Government’s announcement to introduce a lifetime cap on non-concessional contributions, back-dated to take effect from 1 July 2007. Whilst this decision has delivered a lot of angst, some of the more positive changes to contributions have been lost in all the ‘noise’ surrounding the proposed changes to non-concessional contributions.
In this week’s Facebook ‘live’ SMSF Q&A session, I answer a range of questions about the measures announced in the Federal Budget’s on contributions, including:
- Reduction in the concessional contribution cap to $25,000 from 1 July 2017;
- Rolling 5 year concessional contribution caps for members with account balances under $500,000 from 1 July 2017;
- Greater flexibility in the ability to contribute to superannuation from 1 July 2017;
- Introduction of lifetime non-concessional contribution cap of $500,000 from budget night (7.30pm, 3 May 2016);
- A reduction in the ‘income’ threshold to $250,000 for Div 293 tax;
- Introduction of a Low Income Super Tax Offset for individuals with adjusted taxable income under $37,000
Got as question?
Got any follow-up questions to ask from this video? You can add as a comment below or ask via our Facebook page, http://www.facebook.com/thesmsfacademy
What about a question you would like answered for future SMSF Q&A live events? You can send to me at ‘Dunno? Ask me a question!’
Each week our Facebook ‘live’ session talks about a current issue impacting the self-managed super fund sector, from technical topics, through to technology, advice and more… Join me ‘live’ at 4.00pm each Monday.