June 2024 Insights
AW constantly monitors the investment markets and aims to keep our valued clients regularly informed and updated. We aim to help investors cut through all the media noise and hype and understand what is really driving investment markets and portfolio returns.
In this edition, we cover:
Key Super Changes from 1 July 2024
Aspirations Wealth’s Support for Women and Families Fleeing Domestic Violence
Key Super Changes from 1 July 2024
Employer Super Guarantee (SG) Contributions:
Your employer will contribute more towards your super. If you’re a PAYG employee, your compulsory super guarantee (SG) payment will increase by half a percentage point to 11.5%.
Superannuation Contribution Caps:
There are annual caps – or limits – on how much money you can contribute towards super, both in terms of pre-tax ‘concessional’ contributions and after-tax ‘non-concessional’ contributions. Both these caps are going up, so if you have any spare funds, you’ll be able to move more of your money into super’s low-tax environment.
The concessional cap is increasing from $27,500 to $30,000 a year.
The non-concessional cap is increasing from $110,000 to $120,000 a year.
Personal Income Tax Cuts:
The Government’s long-awaited ‘stage 3’ tax cuts are coming into effect on 1 July 2024. While there have been well-publicised changes – lower income earners will receive a higher cut than originally proposed, while higher income earners will receive a lower cut – the bottom line is that all personal income taxpayers will pay less tax.
Minimum Pension Payment Drawdowns:
Depending on your age, there is a minimum amount you must withdraw as a pension payment from a super account-based pension each financial year.
As a reminder, these minimum pension payments are:
Aspirations Wealth’s Support for Women and Families Fleeing Domestic Violence
In 2022, following a move to Brisbane, our former paraplanner and compliance manager – Anne joined Peggy’s Place, a non-profit refuge for women and children transitioning from domestic violence crisis situations to independent living.
Peggy’s Place offers secure communal living, essential support services, and activities to help residents rebuild their lives and regain self-sufficiency. Alarmingly, over 9,000 women flee violent partners annually in Australia, often facing financial difficulties and a lack of immediate financial counseling.
Given the lack of financial counselling, Aspirations Wealth has agreed to sponsor Anne to undertake the approved Financial Counselling Course to provide Financial Counselling to women fleeing domestic and family violence.