Super changes summary, New tax on pension earnings, higher concessional cap for over-50s, excess contributions tax changes
We are sending this special email alert to update you on significant changes to the superannuation rules, announced by the federal government this morning (5 April 2013).
In this special SuperGuide alert, we provide you with the following articles:
- LATEST SUPER CHANGES: SUMMARY. A summary of the announced super changes (at least 7 main changes, including changes to how super pensions will be treated for Age Pension income test, and softer treatment of excess contributions)
- NEW TAX ON PENSION EARNINGS OVER $100,000. A new tax of 15% is to be imposed on pension earnings above $100,000 a year.
- ANOTHER CONTRIBUTIONS CAPS CON. The government will not be re-introducing a $50,000 concessional contributions cap for over-50s, breaking a long-held promise. What they will be introducing is a slightly higher concessional cap for over-60s from 1 July 2013, and then applying that higher cap to over-50s from July 2014.
Click on the article links below to discover what the federal government is going to do to your super savings. We will explore these super changes in more detail (along with our regular features) in our April 2013 newsletter. Expect the April newsletter in your email boxes on 16 April 2013.
Thanks again for your support and interest in SuperGuide.
On 5 April 2013, federal treasurer Wayne Swan, and Minister for financial services and superannuation, Bill Shorten announced a bucket of changes to the existing super arrangements. This article is a summary of the announced changes, and you can find more detail on the proposed changes in separate SuperGuide articles. Read more
If your superannuation pension earns more than $100,000 a year in earnings then expect to be hit with 15% tax on your pension earnings above $100,000. The threshold applies to each individual rather than to each pension/income stream. Read more
The government will be introducing an unindexed cap of $35,000 for over 60s (from 1 July 2013) and for over-50s (from 1 July 2014). Note that this higher cap is unindexed, and will revert to the regular concessional cap by 1 July 2018. Read more