When looking to build an appropriate super nest egg, it’s important to understand factors such as time along with contributions, returns, and fees can have an impact on your super balance come retirement.
In terms of contributions, most employees receive employer Super Guarantee contributions. These employer Super Guarantee contributions, as well as salary sacrifice and personal deductible contributions, are a type of concessional contribution. The other main type of contribution is non-concessional contributions.
A non-concessional contribution generally refers to an after-tax contribution that isn’t (or can’t be) claimed as a tax deduction by the contributor [eg personal contributions not claimed as a tax deduction and spouse contributions (for the recipient)].
In this animation, we illustrate some of the finer details regarding non-concessional contributions, inclusive of contribution eligibility and contributions cap limits.
Uploaded: 15 Nov, 2021