Contributions caps

Every year, you are entitled to make super contributions. If you exceed a certain amount of contributions each year however, known as the contributions cap, any contributions above that cap will be hit with penalty tax.

You have two caps – a concessional contributions cap, and a non-concessional contributions cap.


Set out below are all SuperGuide articles explaining Contributions caps.

Super concessional contributions: 2015/2016 survival guide

Pixmac000083306201_survival

Superannuation contributions can be divided into two types — concessional (before-tax) and non-concessional (after-tax). Each type of super contribution is subject to a contributions cap. A contributions cap sets a limit on the amount of contributions you can make in any one year. This article … [Read more...]

Your 2015/2016 guide to non-concessional (after-tax) contributions

Pixmac000044104393_guide

Non-concessional superannuation contributions are more popularly known as after-tax contributions. You may even hear them called ‘undeducted’ contributions. Such super contributions are subject to a contributions cap, which sets a limit on the amount of non-concessional (after-tax) contributions … [Read more...]

Bring-forward rule: 10 facts you should know

Pixmac000084284866_forward

I receive a lot of questions from readers seeking information about how the non-concessional (after-tax) rules work; in particular, how the bring-forward rules works. The bring-forward rule works over a 3-year period so it is very important that you keep track of the size and timing of any … [Read more...]

Super contributions: Beef up using a bring forward

Pixmac000015691533_beefingup

Q: Under the 2-year bring-forward of non-concessional contributions, if a person makes an after-tax contribution of $180,001 when age 64 during the 2014/2015 year, can he continue to contribute the balance of the $540,000 anytime during the next 2 years without having to satisfy the work … [Read more...]

Superannuation contributions: Wearing two caps

Male hands counting

Q: Are the caps relating to ‘concessional’ and ‘non-concessional’ contributions regarded as separate? Put simply, can I contribute $30,000 concessional and $540,000 non-concessional sums (a total contribution of $570,000) to my super fund for the 2014/2015 year, or for the 2015/2016 year? A: … [Read more...]

Does the Government’s co-contribution count towards my contributions cap?

co-contribution_3370117_c

Q: Does a co-contribution received after using up the total bring forward cap of $540,000 mean that an excess contribution has been made, or is the Government co-contribution excluded from the after-tax contribution cap? A: A superannuation co-contribution is a tax-free super contribution paid by … [Read more...]

Super contributions caps for the 2015/2016 year

Limits_9856403_c

The superannuation contributions caps for concessional (before tax) and non-concessional (after tax) contributions will not increase for the 2015/2016 year. The contributions caps applicable for the 2015/2016 year, will be the same limits in place for the 2014/2015 year. Concessional … [Read more...]

Nightmare on super street: Excess contributions

Nightmare_10104616_c

Since 1 July 2013, if you exceed your concessional or non-concessional cap, the consequences are generally administrative inconvenience and a small financial charge. Before July 2013 (and this still applies for the financial years before July 2013), the consequences of exceeding one or both caps … [Read more...]

The short story on super contributions limits (2014/2015)

story_11261768_c

You can make two types of superannuation contributions – concessional and non-concessional – and each type of contribution has a separate limit. Concessional contributions Before-tax contributions, such as compulsory Superannuation Guarantee contributions, salary sacrificed contributions and … [Read more...]

65 and over: making super contributions

Pixmac000081240885_65_over_contributions

Q: From reading SuperGuide articles, I can see that for people between 50 and 74 years, the concessional contribution cap is $35,000 a year, and that for non-concessional contribution, the cap is $180,000. Is this $180,000 cap for NON-concessional contribution the same regardless of the age of the … [Read more...]