Planning your Superannuation

PLANNING YOUR SUPERANNUATION.

LATEST 2022 SUPER GUARANTEE RATES

We were all looking to make the most of our hard-earned money. All you need to know about your super is here! Determine your Superannuation objectives. Choose, Manage and Enjoy!

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We have the latest update on Superannuation.

What is superannuation and how does it operate?

How to qualify?
Types of Contributions
How much can you contribute towards your super?
How to avoid more charges and fees on my super?
Choose the best Superfund for you
How do I exceed my super? Super Contribution
Low-income or middle-income earners benefits

What is superannuation and how does it operate?

It is money allocated by your employer over the course of your working life in order to support you during retirement. The more you save, the greater your retirement savings will be.

How to qualify?

If you are 18 years old and able to work more than 30 hours per week.

Types of Contributions

There are two types of contributions that can be made to a retirement account. 15 percent is the tax rate for concessional. If you exceed the concessional contribution cap, you may have to pay additional tax, and non-concessional contributions are made from untaxed income.

How much can you contribute towards your super

From 1 July 2021

Concessional contribution cap — $27,500.

Non-concessional contributions cap — $110,000. If you contribute more, you may have to pay extra tax.

How to avoid more charges and fees on my super?

You may have changed jobs several times and have numerous super accounts. Use only one super account to simplify super management and save money by avoiding fees and charges from multiple accounts.

Choose the best Superfund for you

Australian Government provides a Superfund tool to help you choose the best fund of your choices such as Australian Retirement Trust or Australian super and a lot more.

On this link you will find the list of SuperFunds and be able to compare them.

—> Choose the best Super for you

Good to know!

Growing your super

By arranging a SALARY SACRIFICE, in addition to your employer's contribution, you can contribute additional funds from your own salary. Government contribution for low- or middle-income earners and you may also transfer your foreign super to Australian super.

Enjoy your Super!

You will be able to save significantly more money for retirement if you start your Super fund early. When you retire, you may wish to travel the globe, decide to buy a new home, reside on a yacht, or live a comfortable life.

Plan the lifestyle you dream of by estimating your super

Estimate your super

Accessing your super earlier than your preservation age

You may consult with your financial advisor about using a portion of your Super before reaching the preservation age due to unemployment, medical expenses, living expenses, or a lack of funds.

Implications for you

On 1 July 2022 super guarantee will be adjusted to 10.5 percent from 10 percent. Employers will be required to make super guarantee contributions to their eligible employee's super fund, regardless of the employee's salary. Employees must still meet additional eligibility requirements for the super guarantee.

Make sure you update and manage your super account does not miss payments.

What must be done

Verify that your software is up to date to accurately calculate SG benefits for your employees beginning July 1, 2022.
If the elimination of the $450 threshold results in the payment of SG for the first time to one or more employees, you must provide them with a Standard Choice Form.

If your employee does not offer a choice of superannuation funds, please refer to the Stapled Super Fund information on our website for further instructions. A stapled superannuation fund is an existing superannuation account that is associated with a particular employee.

How do I exceed my super? Super Contribution

There are limits on how much you can contribute to your super fund. These limits are called 'contribution caps' and apply to all super funds. If you have more than one super fund, all contributions are added up and count towards your caps as well as age and total super balance.

For more information https://www.ato.gov.au/law/view/document?docid=AFS/SuperContributionCaps/00001

Low-income or middle-income earners benefits

Submit your tax return so we can determine if you qualify for a $500 super co-contribution payment.

For more information go to the Australian Government website.

Regards,

Sunnyside Financial Group