Super Contribution Caps To Increase
March 8, 2021
From 1 July 2021 superannuation contribution caps will increase for the first time since they were set in 2017.
The concessional contribution cap, originally set at $25,000 from 1 July 2017, is indexed by average weekly ordinary time earnings (AWOTE) in increments of $2,500.
With the announcement of the AWOTE figure for the December 2020 quarter, the concessional contribution cap is set to increase from $25,000 p.a. to $27,500 pa from 1 July 2021.
The non-concessional cap in 2021–22 will see the standard cap increased from $100,000 to $110,000 from this date.
In addition, the maximum amount a member who was under 65 at the start of the year can contribute under the non-concessional contribution cap bring-forward rule is also set to increase from $300,000 to $330,000 from 1 July 2021.
It is important to note that the proposal announced in the 2019 federal budget to extend access to the bring-forward rule to people under age 67 at the start of the first financial year is not yet law.
Therefore, only members who are aged under 65 at the beginning of the financial year will be eligible to trigger the bring-forward rule.
It is also important to consider the $1.6 million non-concessional cap threshold is changing due to the indexation of the general transfer balance cap on 1 July 2021 to $1.7 million.
Are you using data insights to drive your operational efficiency? We’ve got the lowdown on five ways that data-based decision-making takes your business to new levels of productivity.
Putting data at the heart of your growth strategy is a no-brainer. We’ve broken down five ways that data-based decision-making helps you grab the best opportunities and grow at pace.
Analysing your customer data is a no-brainer in our data-driven times. We’ve shared five ways that data can help your sales, marketing and social media activity.
Data-based decision-making helps you take informed action and keep your cash in a positive position. We’ve signposted five key ways that data can improve your cashflow.
The 2025 Federal Budget was handed down on 25 March. Here's what it says.
Do you have direct debits and online payments set up to make it easy for your customers to pay you? Talk to us today about implementing online payment systems to reduce admin time, improve the accuracy of your accounts and get paid quicker.
Becoming the successor to the family business is an honour – but it can also be a daunting role to take on. We’ve summarised five of the core skills you need as the head of the business.
You may be ready to hand your family business onto the next generation. But what’s the best time to initiate this transition from one generation to the next. We have the lowdown.
The Aussie construction industry is facing a growing number of business failures. But don’t worry. We’ve set out seven key ways to keep your small construction business on track.
Happy Holidays to our valued clients. We wish you health, happiness, and new beginnings for the year ahead.
