5 Ways To Sort Out Your Finances Before June 30
The end of the financial year is just around the corner. Now is an ideal time to get your finances in order and boost your super before the 30 June cut-off. You may also be entitled to a range of benefits or concessions.
Here are five things to consider:
- Boost your super
- Prepay interest on investment loans
- Buy income protection
- Reduce capital gains tax
- Generate income in retirement
For information on your entitlement to tax deductions and tax offsets, and other tax liabilities, speak with your registered tax agent.
Boost your super
Consider increasing your contributions to super, so you can save more for retirement and benefit from tax concessions if available.
Things to know:
- If you are employed, you could make super contributions from your pre-tax salary.
- If you are self-employed, you may get a tax deduction for the money you put into super.
- If you contribute after-tax pay or savings into super you may pay less tax on investment earnings compared to investing outside super. You may also qualify for a super co-contribution from the Government, or if you make a contribution for a low income spouse, you may qualify for a tax offset.
You should also be aware of the contributions caps. If you exceed these limits, you may have to pay additional tax.
For more information on how to maximise your super savings within the caps, speak to your financial adviser. For information on your entitlement to tax deductions and tax offsets, and other tax liabilities, speak with your registered tax agent.
Prepay interest on investment loans
Pre-paying interest on any investment loans before 30 June could help you manage your cash flow more efficiently.
Buy income protection
Take out an income protection policy outside of your super account before 30 June and you could be eligible for a tax deduction this financial year.
Reduce capital gains tax
You may be able to reduce the amount of capital gains tax you have to pay by making tax deductible contributions to super (if you’re eligible).
Generate income in retirement
Maximise your income-generating capability in retirement. Speak to your adviser and registered tax agent about how you could structure your financial assets to maximise your retirement income.