Seniors and Pensioners Tax Offset (SAPTO)

The Seniors and Pensioners Tax Offset (SAPTO) (formerly known as the Senior Australians Tax Offset (SATO)) is a tax offset that’s available for retirees who are of Age Pension age or older, or of Service Pension age.

Set out below are all SuperGuide articles explaining Seniors and Pensioners Tax Offset (SAPTO).

Australian income tax rates for 2015/2016 and 2014/2015 years

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The tax rates applicable for the 2015/2016 financial year, and for the 2014/2015 financial year are set out in the tax tables below (lists the tax brackets and individual tax rates). We have also included the tax brackets and individual tax rates for the 2013/2014, 2012/2013 and 2011/2012 years at … [Read more...]

What are the super and retirement rules for over-65s?

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Q: My wife (age 63) and myself (age 65) have a small business. I was told by an organisation that at 65 or over I could put money into super, pay 15% tax on the way in and then draw it out when I wished and pay no tax. In fact I have been told to pay myself $30,000 or less and source the rest of my … [Read more...]

No tax in retirement because you SAPTO (updated rates)

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This article is updated annually with new rates, or periodically to highlight changes (if any) to the Seniors & Pensioners Tax Offset (SAPTO) rules. This article includes SAPTO rates for the 2014/2015, 2013/2014, and 2012/2013 years, and SATO rates for the 2011/2012, 2010/2011, 2009/2010 and … [Read more...]

Mature Age Worker Tax Offset gone from July 2014

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The Mature Age Worker Tax Offset will be abolished from 1 July 2014, saving the federal government $700 million over 4 years. The MAWTO was first introduced in 2004, to encourage older workers to stay in the workforce. Ah well, the government is seeking Australians to work longer but at the same … [Read more...]

A case study: I’m 53. Is it too late to save for my retirement? (updated figures)

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Note: Betty has made no plans for retirement, but if she starts contributing $100 a week, until she retires, then she can expect her lifestyle to be better than her current lifestyle. If she contributes $50 a week, then she can expect to receive at least 80% of her pre-retirement income. This … [Read more...]

Medicare Levy increase helps pay for NDIS

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The National Disability Insurance Scheme has become a reality with a guaranteed financial contribution sourced directly from taxpayers, and promised contributions from the states of Australia. Bravo to the federal government, state governments and to the individuals and organisations who helped … [Read more...]

Say goodbye to 2015/2016 income tax cuts

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Due to a budget blowout caused by “an over-hang from the global financial crisis and strong Australian dollar”, the federal government has informally announced (drip fed via a series of casual comments in various interviews) that the income tax cuts, that were to take effect from 1 July 2015, are no … [Read more...]

Super for beginners, part 16: Tax-free twice

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Q: I am confused. When I retire and I am over 60 I receive tax-free super benefits. Someone has told me that I also get other tax-free stuff. Can you tell me what that is? In terms of retirement and superannuation, when you reach 60 and start a retirement income stream (super pension) you get two … [Read more...]

Tax-free retirement: Why bother with super, such as an SMSF?

Q: Rather than putting our money in super, should we just go for a lump sum and invest in term deposit and direct shares in our own name? For example, if a couple who are senior age can receive income of $51,630 tax-free outside of an SMSF, why bother with all the requirements and costs of operating … [Read more...]