The ATO on 4 March 2019 have published the super rates and thresholds for the upcoming 2019/20 financial year.
There is no change to the concessional contribution (CC) cap of $25,000. Whilst indexation from 1 July 2017 increases in $2,500 increments, the AWOTE indexation was insufficient to trigger and increase. As a result, there is no change to the non-concessional contribution (NCC) cap of $100,000.
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Income year
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Your age at this date
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Concessional contribution cap
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2019-20
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All ages
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$25,000
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Note that that first year of any unused concessional cap carry-forward rules commences in 2019/20 financial year and is subject to a member’s total superannuation balance (TSB) being less than $500,000 at 30 June 2019.
The low rate cap, the ETP cap for life benefit termination payments and the death benefit termination payments ETP cap for the 2018/19 income year all increase to $210,000.
The CGT cap amount and untaxed cap plan amount increases to $1,515,000.
The maximum contributions base indexes to $55,270 per quarter for the 2019/20 income year, providing an annual equivalent of $221,080.
No change occurs to the general transfer balance cap of $1,600,000 for the 2019/20 income year, nor the defined benefit income cap of $100,000.
For further information, see https://www.ato.gov.au/Rates/Key-superannuation-rates-and-thresholds/
Author: Aaron Dunn
Aaron is a well-known identity within the SMSF sector and is seen as a trusted source for professionals to learn more about SMSFs and the direction of the sector. Aaron's insights into both technical and practice-based issues within the SMSF industry sees him regularly sort out to participate as a key stakeholder across regulatory and policy issues.
Aaron was awarded the SMSF Association Chairman's Award 2023 for his outstanding contribution to the SMSF sector, having made a significant contributions to sector growth and sustainability, measured against the values of leadership and sustainability.
As an SMSF specialist and CPA with more than 25 years experience, Aaron is the CEO and Co-founder of Smarter SMSF, a specialist business that provides technology-based solutions to educate, automate and simplify the complexities of SMSFs to accountants, financial advisers.
A lover of sport, in particular AFL football (Essendon) and athletics, Aaron was previously a nationally ranked high jumper having set a personal best jump of 2.14m.
