A voluntary after-tax contribution to your super is a simple and effective way of growing your super. Until 1 July 2017, there was a restriction on employees – known as the 10% rule – which prevented tax deductible super contribution claims unless less than 10% of income was from employment-related activities. Freedom to retire early If you claim a tax deduction on a personal contribution, then the contribution is counted as a concessional (before-tax) contribution. I'm trying to figure out what is the maximum I could make in voluntary contributions. Personal super contributions are also tax deductible, as long as you meet the eligibility criteria (listed on the ATO website) and are under the super contribution limits. Hi @Williamsdc . Support. Voluntary Contributions Choice Super Housing Advance Discount Program. There's a table on the ATO site listing $25k as the concessional contribution cap for 2018-19. 6 An exemption from the work test is available to eligible retirees which may allow you to make voluntary contributions to your super without the need to satisfy the work test. Call Centre: 180 1599 Fax: +675 32144046 Head Office: Level 2, Deloitte Haus, Port Moresby Postal Address: P.O. If you are between 67 and 74 years old, you must fulfill a work test that shows you were employed for at least 40 hours over a consecutive 30-day period before you can make voluntary super contributions. Why making extra super contributions may not be helpful. The concessional contributions cap is the amount of tax you can contribute to your super account at the concessional tax rate of 15%, which is a nice low rate of tax. If you’re considering voluntary super contributions through salary sacrifice (where you choose to contribute a portion of your pre-tax income), or after-tax super contributions (such as cash from an inheritance or property), you must be under 75 years of age and meet specific requirements under the work test or work test exemption. If you are 75 and older, you are not eligible to make after-tax contributions. Non-concessional contributions (voluntary after-tax contribution) are made from your post-tax income or savings, which does not attract the 15% contribution tax, as you have already paid tax on your income. Contact Us. Changes came into effect in 2017-18 where now no matter your age, you can contribute up to $25,000 per year into your superannuation at the concessional rate including: There is no question in my mind that the above points are valid and solid reasons to make extra superannuation contributions. But after running some modelling on my own situation, I’ll still avoid making extra super contributions for the following reasons: 1. 180 1599 Call us 8am-5pm Monday to Friday. To learn more about after-tax contributions, visit the ATO website. If you are age 64 or under in this Financial Year (FY) and have little to no balance inside super (i.e. FAQs Contact. Personal superannuation contributions can be claimed as a tax deduction. Are these voluntary contributions classified as "concessional contributions"? 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