Superannuation is the most tax-effective retirement savings vehicle for almost everyone. But it’s also an area that is often overlooked. In fact, many people currently have around 30% of their pre-retirement income to live on when they finish working. Could you live on just 30% of your income?
There’s lots to consider with Superannuation, including four main tax advantages:
- Tax deduction is possible if you are self-employed and contribute to superannuation
- Superannuation funds pay a concessional rate of tax of 15%
- With careful planning, it’s possible to pay little or no tax on income payments from superannuation
- You can pay less tax through salary sacrifice. Contributions will be taxed at 15% (plus the superannuation surcharge if applicable) rather than the marginal rate.
To make an appointment with one of our highly qualified Financial Planners, please call 03 6233 0651 or visit your nearest Branch.