Insights | 28 Feb 2024

Last year to utilise carry-forward unused concessional contributions from the 2019 financial year

The opportunity to catch up unutilised superannuation contributions from the 2019 financial year expires on 30 June 2024. Eligible individuals should consider and plan for this opportunity now before it is lost forever.

The carry-forward concessional contributions measure commenced in the 2019 financial year. These rules allow unutilised superannuation caps to be carried forward to allow catch up contributions in the following five years. This means that any unused concessional contributions remaining from the 2019 year will expire on 30 June of this year if not utilised before this date.

To use the carry-forward concessional contributions, your total super balance on the last day of the previous financial year must be less than $500,000.

If your balance (across all accounts) is starting to get close to the $500,000 threshold, this financial year may be your last opportunity to utilise these carry-forward amounts.

This includes amounts accrued in 2019, and also those accrued in the following years. Subject to your taxable income, you might want to plan your cashflows to take maximum advantage of this measure between now and 30 June.

This is particularly important given the following:

  1. The tax benefits this year are likely to be greater than after the Stage 3 tax cuts are introduced (even in their revised form); and
  2. Once your total super balance passes the $500,000 threshold, you will permanently lose the ability to use the five years of carry forward concessional contributions.

Contact Pilot

If you would like assistance in reviewing your cashflows and super balances to best utilise the carry forward concessional contributions measure, contact your Pilot advisor on 07 3023 1300.

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