Tax free money in retirement?
Far-reaching tax changes, effective from 1st July 2007, will make super the most tax-effective form of saving for most Australians.
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Lump sum benefits paid to retirees aged 60 and over will be tax-free.
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From 60, superannuation pensions will be tax-free.
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You won't be forced to withdraw your super savings when you retire.
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If you take your benefits in the form of a pension, even your investment earnings in the fund will be tax-free.
- There's now a once-only window of opportunity to make a large superannuation contribution of up to $1 million before 30 June 2007.
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Self-employed people will be able to claim a full deduction for their super contributions.
"This doesn't affect me - I'm too young." Wrong! Learn more.
"It's too late for me to catch up - I'm over 40." Wrong! Learn more.
Super deadlines are approaching fast!
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Before 1 July 2007, you can put up to $1 million into super.
After that, your after-tax contributions could be limited to $150,000 a year. If you're considering making additional contributions into super, you may want to make them before this deadline.
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After 20 September 2007 the current assets test will change.
If you're near retirement age, make sure you know how this will affect you.
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For a transitionary period of 5 years, people over 50 will be able to make pre-tax contributions of $100,000 a year. You'll only pay 15% tax on these. After 5 years the amount will be limited to $50,000 a year.
Vision Super can help!
The tax changes raise a number of questions, options and opportunities that will directly affect the super decisions you make now and in the future. Call Member Services on (03) 9911 3222 (regional 1300 300 820) and speak to a super specialist about how these changes affect you.
