Superannuation, Age Pension and income tax rules for 2019-20
Happy new (financial) year!
In this special edition we’ve updated all SuperGuide articles that cover the key rules, regulations, rates and thresholds for the 2019-20 financial year, and highlighted some of the key changes that come into place from 1 July 2019.
- SUPER RULES: A number of superannuation rules come into force on 1 July 2019, including the Protecting Your Super reforms, expansion of the Pension Loans Scheme and the introduction of an exemption from the work test for voluntary superannuation contributions in the first income year after retirement. You can now also take advantage of the carry-forward contributions rule for the first time. In the first two articles below you can read overviews of the main rule changes as well as the key rates and thresholds for 2019-2020.
- SUPER CONTRIBUTIONS GUIDES: Our guides for concessional and non-concessional contributions, plus co-contributions and the Low Income Superannuation Tax Offset (LISTO) have all been updated for 2019-2020.
- SUPER AND TAX GUIDES: The super tax rules can seem complicated, particularly in terms of how they apply before and after the age of 60. For your reference we have updated our comprehensive super and tax guides.
- AGE PENSION: The assets and income test and deeming rate thresholds all increase on 1 July 2019, which means that more Australians can receive a full or a higher part Age Pension. The work bonus also increases from $250 to $300 per fortnight, and the Age Pension age increases to 66.
- INCOME TAX: Learn about the legislated income tax rates for 2019-2020, including the low income tax offset (LITO), the low and middle income tax offset (LMITO) and the senior Australians and Pensioners Tax Offset (SAPTO). Note that there were also income tax cuts announced in the 2019 Federal Budget, but those have not yet passed into law.
2019-2020 SUPER RULES AND RECENT CHANGES
Keeping up with the constant rule changes to super can be tricky, so here’s our annual list of what you need to know.Read more
With so many recent changes to super, we’ve compiled this handy list of the rates, caps and thresholds that now apply.Read more
In your late 60s, you may need to meet a work test before making contributions into your super account. Here’s the current rules and what they mean for you.Read more
The Pension Loans Scheme can be a great way to boost your retirement income by taking out loan from the government against the equity in your home.Read more
The Protecting Your Super Package of reforms start on 1 July 2019. These reforms are designed to protect your super accounts from being eroded by insurance policy fees and premiums that you may not require, as well as help to consolidate your low balance super accounts.Read more
Rolling forward any unused amounts from your annual concessional contribution cap can be an easy way to get more money into super tax-effectively.Read more
Life is never quiet for SMSF trustees. With new contribution limits and recovery from the pandemic, it looks like the new financial year will be no different.Read more
SUPER CONTRIBUTIONS GUIDES
Concessional contributions are taxed at concessional rates, so to make the most of them it’s important to understand how they work.Read more
Non-concessional contributions are a great way to top up your super retirement savings. Here’s our simple guide to how they work.Read more
Getting the government to top up your super account can be easy way to boost your retirement savings. Here’s an easy guide to the tips and traps.Read more
If you can find spare cash to make a contribution into your super account, you could be eligible to receive the LISTO top-up of up to $500 from the government.Read more
SUPER TAX GUIDES
If you access your super when you’re under age 60, the tax man is going to get a share of it, so make sure you know the rules.Read more
When you reach age 60, the rules change on how much tax you are required to pay when you withdraw your super savings.Read more
AGE PENSION RATES AND THRESHOLDS
This article details the rules and limits of the Age Pension assets test (how much your savings and other assets are worth), which is one half of the means test (along with the income test) that determines how much Age Pension you could be eligible for.Read more
A common question for those nearing or in retirement is “How much can a pensioner earn before it affects the pension?”.Read more
Many pensioners are unaware they can continue working and earning some income on the side without losing pension entitlements, but not everyone is eligible.Read more
Under the deeming rules, you are ‘deemed’ to earn a certain annual rate of return on your financial assets, regardless of the rate of return you actually earn.Read more
There are a range of benefits attached to the Age Pension, so there’s a lot riding on when you can access it.Read more
Age Pension rates increase on 20 September 2021. This article also explains how the Age Pension works, and includes the latest Age Pension rates for residents, non-residents, and the transitional Age Pension.Read more
Our Age Pension calculator gives you an indication of potential Age Pension entitlements. The Age Pension rates are those that apply from 20 September 2021 to 19 March 2022.Read more
The amount of tax you pay will depend on your assessable income less a host of tax deductions and offsets. Here are the latest rates and thresholds.Read more
LMITO is here for another year, saving taxpayers up to $1,080, so catch it if you can.Read more
Low-income earners may be eligible to reduce their tax bill by as much as $700, without lifting a finger. Check our guide to who’s eligible and for how much.Read more
SAPTO can help retirees reduce their tax bill but working out whether you are eligible and for how much is far from straightforward.Read more