ATO Increase in Superannuation Fund Contributions Cap in the 2015 Financial Year


Concessional Contribution Cap

A concessional contribution is when you make a payment to your superannuation fund in which you can claim a deduction in your personal income tax return. Concessional contributions are taxed at 15% in the superannuation fund. In the 2015 year, the limit of how much you can contribute has increased to $30,000 from $25,000. For people who are 49 years or older on 30 June 2014 the cap increases to $35,000.

Non Concessional Contributions Cap

A non concessional contribution cap is one where you do not obtain a deduction in your personal tax return and the contribution is not taxed in the superannuation fund. The cap for this particular contribution has increased from $150,000 to $180,000 for the 2015 financial year.  Non concessional contributions also allow you to trigger a “bring forward rule”. This rule (if you are under 65 years old) allows you to contribute 3 years worth of contributions in a single year or in any way over a 3 year period. From 2015 you can contribute a maximum of $540,000 ($180,000 X 3 years) over a 3 year period starting from the 2014/2015 year. If you do trigger a bring forward rule in the 2013/2014 year, your cap is still $450,000 as the cap is based on the year the rule was triggered and does not take into account the increase in the cap in 2014/2015.


Submitted by: Mark Nasta – Accountant 


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