Paul Rickard from the Switzer Super Report says maximising your contributions to super is one of the most important things to do before the end of financial year.

“For most people, the concessional cap is $25,000. If you are 60 or over, it’s $35,000 – so if you’ve got the money and can increase your salary sacrifice, or if you’re self-employed and haven’t yet made a contribution to your superannuation – put as much as you can in up to the cap.”

From 1 July next year, the general concessional cap will rise to $30,000, and people who are 50 or over will be able to take advantage of a higher limit of $35,000.

Also from 1 July next year, the non-concessional contributions cap will increase from $150,000 to $180,000.

Before the end of financial year, superannuants who have been accessing a pension should check to ensure that they have taken at least the minimum amount. This is based on your age, and calculated on your account balance at the start of the year or when the pension commenced.

“For example, if you’re 66 and your account balance was $250,000, you’ve got to take a minimum of 5% out of your account as a pension, or $25,000” says Rickard.

“If you don’t, the investment earnings on your account balance will potentially be taxed at 15%, rather than 0%”.

Some low income superannuants may also be eligible for the superannuation co-contribution. The Government will make a contribution of up $500 if a personal contribution of $1,000 is made. To qualify in full, the person’s taxable income needs to be less than $33,516, and to qualify in part, under $48,516.

“The only catch is they have to be doing some form of work – at least 10% of their income has to be from an employment source,” says Rickard.