Concessional contributions

Concessional is a term used to describe favourable tax treatment. For example, earnings in superannuation funds receive concessional tax treatment. The term 'concessional contributions' means that such contributions receive special tax treatment.


Concessional contributions are before-tax contributions that can include employer contributions, contributions made under a salary sacrifice arrangement and tax-deductible contributions by an individual.

Set out below are all SuperGuide articles explaining Concessional contributions.

SMSF pension: After making super contributions, when can I convert to another pension?

pension_10063173_c

Q: I am 67 and work part time, so I qualify to make concessional contributions to our SMSF. I am already receiving an account based pension from my SMSF. The new contributions I make will have to go into an accumulation account. How long do I have to wait before our SMSF can pay another account … [Read more...]

Why Australians don’t make extra super contributions

By Jun Feng, Monash University; Hazel Bateman, and Paul Gerrans, University of Western Australia Australians are increasingly relying on superannuation for their retirement income, but despite more than 20 years of compulsory super, many people are not retiring with enough. The assets under … [Read more...]

Super for beginners, part 15: Super tax – as easy as 1-2-3

2623641710_8fffa6c5ac_b

Superannuation only exists because of how super savings are taxed. Superannuation savings receive tax incentives to encourage Australians to choose super as a retirement savings option. Even so, superannuation is still taxed (for most Australians) at a lower rate of tax than non-superannuation … [Read more...]

Transition-to-retirement pension: Can I work full-time and what form do I fill in?

workingtrip

Q: Your website says: “By starting a TRIP, you don’t have to retire to withdraw your super benefits. You can work part-time or full-time or even casually.” But on the TRIP form I have from my super fund it says I have to be permanently retired or be working part time. Which is correct? I can’t see … [Read more...]

TRIPs: 10 interesting facts about transition-to-retirement pensions

Pixmac000012375043_cake_trip

Note: The general concessional contributions cap is increasing to $30,000 (from $25,000), effective from 1 July 2014. The special $35,000 cap for over-60s will also apply to over-50s from 1 July 2014 (or more specifically, to anyone who is aged 49 years or over on 30 June 2014). An increase in the … [Read more...]

Super! Jump in contributions caps for 2014/2015 year

5366854530_35d6de81c2_b

As previously flagged in SuperGuide, the contributions caps for concessional (before tax) and non-concessional (after tax) contributions will increase for the 2014/2015 year, as a result of indexation. Concessional contributions Concessional contributions include your employer’s compulsory … [Read more...]