Employers’ superannuation payments to workers are to increase by half a percent a year and expects to reach value of 12% by 2025. From 01 July 2021 superannuation guarantee rate will increase to 10 per cent and rise by 0.5 per cent year after to reach 12 per cent by end of 2025.
No more ‘work test’ for voluntary contributions
Without meeting the work test, individuals aged 67 to 74 can make or receive non-concessional contributions or salary-sacrificed contributions from 1 July 2022. Previously individuals aged 67 to 74 could only make contributions if they have worked at least 40 hours over 30 consecutive days in the specific year or eligible under the recent retiree work test exemption.
Super downsizer contribution age change
Downsizer contributions allows to make one off, post tax contribution to clients. Nominated superannuation fund up to $300000 per person from the proceeds of selling their residence. These contributions do not affect the non-contribution caps. Currently, To be eligible to make a downsizer contribution you need to be 65 or older. Governments has Proposes to lower this age to 60.
