It’s usually June where SMSF members are going crazy trying to think about tax minimisation strategies from salary sacrifice to voluntary contributions and carry forward contributions. However, July is a prefer time to plan ahead and avoid the stress of June deadlines.
- Salary sacrifice
Its important to note that the contribution cap has been increased from $30,000 to $32,500. Its best to review your salary sacrifice to ensure you are now meeting the increased cap of $32,500.
- Contribution caps have increased
Contribution caps have increased for the 2026-27 year. Before tax or concessional contributions have increased from $30,000 to $32,500 (including employer contributions of at least 12%). Non concessional or after tax contributions have increased from $120,000 to $130,000.
The bring forward rule is important to consider early where individuals under 75 can bring forward up to 3 years contributions or $390,000 depending on your super balance.
- Time to start a pension?
If you are approaching or have met preservation age – its important to consider when you can access your super in the most tax effective manner. This may include a Transition to Retirement Pension or Allocated Pension. Its important to seek advice and once established ensure all minimum payments for the relevant pension are met. Further the new transfer balance cap has increased from $2m to $2.1m.
- Review your investment Strategy
July is the perfect time to review your investment strategy including your smsf investment allocation in accordance with the stated investment strategy, after all your SMSF auditor will check the stategy each year.
Don’t wait to the last minute, get on top of SMSF strategies early in the year to avoid late minute surprises.
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