If you are less than 65 years old at any time in a financial year and go over the non-concessional (after-tax) super contributions cap for that year, the bring-forward provision will apply.
The bring-forward provision is automatically triggered when your non-concessional contributions go over $150,000 in a particular year. Once the bring-forward provision is triggered, you will be able to contribute non-concessional contributions totalling $450,000 over three financial years without exceeding your non-concessional contributions cap.
Once the bring-forward provision applies in a financial year, you will need to be careful to monitor how much you contribute over the following two years to ensure you do not contribute more than $450,000 over the three year period. If you do exceed this threshold, you may have to pay extra tax.
Non-concessional contributions include:
The bring-forward provision is automatically triggered when your non-concessional contributions go over $150,000 in a particular year. Once the bring-forward provision is triggered, you will be able to contribute non-concessional contributions totalling $450,000 over three financial years without exceeding your non-concessional contributions cap.
Once the bring-forward provision applies in a financial year, you will need to be careful to monitor how much you contribute over the following two years to ensure you do not contribute more than $450,000 over the three year period. If you do exceed this threshold, you may have to pay extra tax.
Non-concessional contributions include:
- contributions you make from your after-tax income
- contributions your partner makes to your super account
- any contributions made over your concessional contributions cap.
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