Jul 15, 2024 / News

Super caps / Superannuation / Superannuation Solutions Edition 21

Important super caps and rates

We summarise a number of important superannuation rates and caps for your convenience, especially where they have changed from 1 July 2024.

Minimum pension factors

In the year a pension commences:

If pension is commenced before 1 June, the minimum is prorated by the number of days in the financial year that includes and follows the commencement day.

If pension is commenced between 1 June and 30 June, no minimum payment is required.

In the year of a commutation the minimum is prorated by the number of days in the financial year up to the date of commutation.

A pre-commutation minimum payment is not required if:

• The commutation is a partial commutation and the remaining account balance is enough to meet the minimum payment, or
• The commutation results from death, family law split, surcharge payment or exercise of right under a financial product cooling off period.

In addition to the above minimums, transition to retirement pensions are subject to a maximum annual drawdown of 10% of the opening account balance, which is not prorated.

2024-25 Individual tax rates

Bring forward periods and caps for non-concessional contributions.

In addition the member must be under 75 at some time during the tax year.

Click here to go return to the Superannuation Solutions | Newsletter 21 page.

The material contained in this publication is for general information purposes only and does not constitute professional advice or recommendation from Nexia Edwards Marshall. Regarding any situation or circumstance, specific professional advice should be sought on any particular matter by contacting your Nexia Edwards Marshall Adviser.