Q: I can see that for people between 50 and 74, the concessional contribution cap is $50,000 / year and that for non-concessional contribution, the cap is $150,000. Is this $150,000 cap for NON-concessional contribution the same regardless of the age of the person? I am nearly 65 and I would like to know if the limit of $150,000 / year applies to people over 65.
Trish’s response: Yes, the non-concessional (after-tax) contribution cap applies to individuals aged up to 74 years (as does the concessional cap). You must satisfy a work test when making super contributions on or after the age of 65.
Anyone aged 75 years or over cannot make
If an individual is under the age of 65, he can also take advantage of the ‘bring forward’ rules when making non-concessional contributions. The ‘bring forward’ rule allows you to make up to two years’ worth of non-concessional contributions in advance. For the 2011/2012 year, an individual under the age of 65 could make $450,000 in non-
Note: For individuals aged 63 or 64, there is a quirk in the law that permits such individuals to take advantage of the bring forward rules even though some of the contributions relate to years where they reached the age of 65.
I explain the 2011/2012 contributions caps in my articles:
- Super concessional contributions: 2011/2012 survival guide
- Your 2011/2012 guide to non-concessional (after-tax) contributions
