SMSF audits, Retirement calculators, Franking credits, Total super balance, Super contributions
Highlights of the May 2018 edition of the SuperGuide Premium newsletter include:
- SMSF AUDITS: Belinda Aisbett contends that three-yearly SMSF audits will undermine the integrity of the SMSF sector. They don’t benefit SMSF trustees, will add to complexity, and will inevitably push up costs.
- RETIREMENT CALCULATORS: Our new Retirement Income Reckoner can help you quickly and simply understand approximately how much retirement income your super savings might be able to generate, or try our handy guide to minimum pension payments rules (including calculator), or our Age Pension calculator to estimate how much you may be eligible for.
- ALP’S FRANKING CREDITS POLICY: Roger Wilkins from the University of Melbourne analyses the demographics of the retirees targeted in Labor’s dividend imputation credits plan
- CONTRIBUTIONS ARTICLES: Find out how the new catch-up rules apply, learn if you can use use contribution splitting to boost your spouse’s super, or whether you can make tax-deductible super contributions.
- TOTAL SUPER BALANCE: The concept of a Total Super Balance is one of the biggest changes to the super rules in recent years. We explain how the TSB rules work and when they apply.
It came as quite a shock to many in the industry that the federal government announced a proposal to amend the annual audit requirement for SMSFs. SMSFs (like all superannuation vehicles) are presently required to be audited each year by an ASIC-approved SMSF auditor. Read more
The issue of whether or not retirees should be able to get a refund in dividend imputation has sparked considerable discussion of retirees’ income and wealth. Read more
RETIREMENT RECKONERS AND CALCULATORS
SuperGuide’s Super to income Reckoner can help you quickly and simply understand approximately how much retirement income your super savings might be able to generate. Read more
The SuperGuide Guide to minimum pension payments rules (including calculator) works out an individual’s minimum pension payment amount, based on the individual’s age and account balance as at 1 July for the financial year. Read more
Using the calculator is easy. Enter your details in the calculator (in the yellow blocks) and you will see an estimate of amount of Age Pension you may be eligible for. The Age Pension rates are those that apply from 20 March 2018 to 19 September 2018. Read more
Feel like you’ve missed the boat when it comes to your retirement savings? Carry-forward super contributions could be the answer for many Australians looking to boost the balance in their super account. Read more
Topping up your spouse’s retirement savings account with some of your own super contributions can be a great way to help them save for life after work – and possibly save yourself some tax in the process. Read more
Tax-deductible super contributions are an option that more Australians can now consider due to recent legislative changes. However, it can be a complex area, so with tax-time looming, it’s a topic worth reviewing. Read more
Total superannuation balance, or TSB, was introduced on 1 July 2017 as a means to measure your total superannuation interests at any point in time. It is used to determine eligibility for a number of new superannuation measures – such as the ability to carry forward unused concessional contribution caps. Read more
As of 1 July 2017, a $1.6 million cap on the amount that can be used to commence a pension in retirement phase was introduced for everybody in retirement. The change is designed to introduce a fairer system, so that those who are fortunate enough to have started pensions after retirement with such a significant amount in their superannuation do not live tax-free forever. Read more
SMSF trustees are required to regularly value their fund’s assets as a part of ensuring compliance with Australia’s super legislation. Assets must be valued at market value, based on appropriate evidence and data. The Australian Taxation Office (ATO) can review these asset valuations as a part of their ongoing SMSF compliance monitoring. Read more
Building a sizeable retirement nest egg can take some effort, but a recent study by Roy Morgan found only 18% of employees with super currently have more than the compulsory 9.5% of their salary or wages going into their super fund account. Read more
The current SG contribution rate is 9.5% of your earnings up to a limit called the maximum super contribution base (MSCB). If you earn above that limit in a particular quarter, your employer is not required to make SG contributions for the part of your earnings over the limit. Read more
While the sacrificing bit might sound painful, salary sacrifice is really just about giving up something now to get a financial benefit later on. Read more
Free money from the Government is a pretty rare thing and most Aussies would be willing to go a bit out of their way to try and get some, but one of the easiest routes to those extra bucks is often overlooked. Read more
TRANSFER BALANCE ACCOUNT
From 1 July 2017 the Federal government introduced the transfer balance cap, which currently sits at $1.6 million and which will be indexed periodically in $100,000 increments. Read more