As the end of the financial year approaches, now is a great time to review your financial position
and consider whether there are opportunities to improve your outcome before 30 June. Outlined
below are some common areas worth reviewing.
Superannuation Opportunities
Superannuation can be a very effective way to build long-term wealth and manage tax, however
rules and contribution limits apply.
Non-Concessional Contributions (After-Tax)
If you are under age 75, you may be able to make after-tax contributions to super without meeting a
work test, subject to your Total Superannuation Balance (TSB).
Key points to consider:
- Eligibility depends on your TSB as at 30 June 2025
- If eligible, you may be able to use the bring-forward rule and contribute up to three years’
worth of contributions at once - Contributions must generally be made no later than 28 days after the month you turn 75
Looking ahead, from 1 July 2026 both the TSB threshold and non-concessional caps are scheduled
to increase. For some individuals, delaying contributions may allow larger amounts to be
contributed tax-effectively.
Concessional Contributions (Before-Tax)
Concessional contributions may help reduce taxable income while growing retirement savings.
Things to consider:
- The concessional contribution cap for 2025/26 is $30,000
- If your TSB was below $500,000 on 30 June 2025, unused concessional caps from prior years
may be available - If under age 67, contributions can generally be made without meeting a work test
- If aged 67–75, work test rules or exemptions may apply
If you salary sacrifice to super, it is important to check your available cap space. Employer super
guarantee rates increased from 1 July 2025, which may reduce how much you can salary sacrifice
without exceeding the cap.
From 1 July 2026, the concessional cap is scheduled to increase to $32,500.
Government Co-Contributions
You may be eligible for a government co-contribution if:
- Your income is below the applicable thresholds
- You make an after-tax super contribution
- At least 10% of your income comes from employment or self-employment
The government may contribute up to $500, subject to eligibility rules.
Spouse Contributions
If one member of a couple has income below $40,000, the other spouse may be able to:
- Contribute up to $3,000 to their spouse’s super
- Receive a tax offset of up to $540
Eligibility criteria apply.
Super Splitting
If eligible, you may be able to split concessional contributions made in the previous financial year
with your spouse.
Requests generally need to be lodged with the super fund before 30 June.
Transition to Retirement (TTR)
If you are approaching age 65 and have significant balances in a Transition to Retirement pension,
upcoming changes to the Transfer Balance Cap may present planning opportunities.
This may allow more funds to be transferred into a tax-free retirement pension from 1 July 2026.
Centrelink Considerations
Gifting
If you are planning to provide financial assistance to family members:
- You can gift up to $10,000 per financial year
- A total of $30,000 is allowed over a rolling five-year period
Using available gifting limits before 30 June may reset your limit sooner.
Tax Planning Opportunities
Prepaid Deductions
Some expenses can be prepaid for up to 12 months to potentially bring forward a tax deduction.
Capital Gains and Losses
If you have sold assets during the year and realised gains or losses, reviewing your situation before
year end may help manage your overall tax outcome.
Final Thoughts
End of financial year planning can make a meaningful difference, but strategies should always be
considered in line with your goals, personal circumstances, and eligibility.
If you would like to review your position or discuss which opportunities may be relevant for you,
please contact us to arrange an appointment.
General Advice Warning
This information is general in nature and does not take into account your objectives, financial situation or needs. You should consider seeking advice from an appropriately qualified professional before acting on any of the strategies outlined above.