Tax Alert - Planning for Superannuation Contributions before 30 June 2025

Lowe Lippmann Chartered Accountants

Planning for Superannuation Contributions before 30 June 2025


As the end of the financial year is approaching, we take this opportunity to remind you of the various superannuation thresholds, opportunities, obligations and changes, including topics such as:

  • Concessional contributions
  • Non-concessional contributions
  • Superannuation guarantee
  • Impending proposed changes to superannuation from 1 July 2025

Concessional contributions


A concessional contribution is a payment made into your superannuation fund and is subject to tax (known as ‘before-tax contributions’) and includes employer’s compulsory super guarantee contributions, salary sacrificed contributions and personal contributions made by you which is from your after-tax dollars and claiming a tax deduction.


From 1 July 2024, concessional contributions are capped at $30,000 per year and are taxed at 15% upon receipt by the superannuation fund.  However, individuals with income including concessional contributions exceeding $250,000 may be subject to an additional Division 293 tax on the excess of up to 15%, effectively increasing the tax up to 30%.


If you have more than one superannuation fund, all concessional contributions made to all of your funds are added together and counted towards the concessional contributions cap.


The payer (either the employer or the individual making a personal contribution) is generally entitled to a tax deduction for the amount of the contribution.


To see full details for making Concessional Contributions  – click here

Non-concessional contributions


Non-concessional contributions are contributions made from after-tax dollars and the payer (the individual making the personal contribution) does not get a tax deduction for it.


Non-concessional contributions are capped at $0 or $120,000 per year (depending on your personal circumstances), subject to the bring-forward concession, which is the maximum amount of after-tax contributions you can contribute to your superannuation fund each year without contributions being subject to extra tax.


If you have more than one superannuation fund, all non-concessional contributions made to all of your funds are added together and counted towards the non-concessional contributions cap.


To see full details for making Non-Concessional Contributions – click here

Superannuation guarantee


It is compulsory for an employer to pay their eligible employees superannuation guarantee to their nominated superannuation fund, based on their ordinary time earnings and the relevant annual SG rate, by the quarterly due date.


To see full details about Superannuation Guarantee requirements – click here

Impending proposed change to superannuation from 1 July 2025


Additional tax on total superannuation balances over $3 million from 1 July 2025


Following the recent Federal election, the Labor Party is expected to reintroduce a tax Bill which proposes to increase the concessional tax rate applied by 15% on that proportion of future earnings relating to total superannuation balances above $3 million by 15%, rising up to 30%, with a proposed implementation date of 1 July 2025.


To see full details about this proposed change – click here


Please do not hesitate to contact your Lowe Lippmann Relationship Partner if you wish to discuss any of these matters further.

Liability limited by a scheme approved under Professional Standards Legislation


Audit Lowe Down – How do we account for the costs incurred when acquiring an asset?

August 26, 2025
How do we account for the costs incurred when acquiring an asset? When we acquire an asset such as property, plant and equipment, intangibles or inventory there are often significant other costs incurred as part of the purchase process, including delivery, stamp duty, installation fees. Whether we capitalise these to the value of the asset or expense them as incurred can make a significant difference to an entity’s reported position or performance. Since we have accounting standards for specific assets, the treatment can vary depending on the asset and the relevant standard. A summary of some common expenses and their treatment under four accounting standards has been included below. The four standards considered are: AASB 102 Inventories AASB 116 Property, Plant and Equipment AASB 138 Intangible Assets AASB 140 Investment Property.

Audit Lowe Down – What are contract assets and contract liabilities that arise under the revenue accounting standards?

August 12, 2025
What are contract assets and contract liabilities that arise under the revenue accounting standards? Deferred revenue, accrued revenue, revenue received in advance, contract assets, contract costs asset, contract liabilities and receivables are all line items we see in the balance sheet in relation to revenue. It can be confusing to understand what these terms mean and whether different words are being used for the same thing.  We have provided a guidance to these and similar terms to enable you to use them confidently and understand their meaning in a balance sheet.

Practice Update – August 2025

August 6, 2025
Paid parental leave changes have now commenced As from 1 July 2025, the amount of Paid Parental Leave available to families increased to 24 weeks, and the amount of Paid Parental Leave that parents can take off at the same time has also increased from two weeks to four weeks. Superannuation will now also be paid on Government Paid Parental Leave from 1 July 2025, at the new super guarantee rate of 12%, paid as a contribution to their nominated superannuation fund. Parents will also benefit from an increase in the weekly payment rate of Paid Parental Leave, increasing from $915.80 to $948.10 (in line with the increase to the National Minimum wage). This means a total increase of $775.20 over the 24-week entitlement.
More Posts