Understanding Salary Sacrifice to Super (Nov 24 Tax Update)

Relevant For:

Employees considering salary sacrifice to boost their superannuation savings.

Key Points:

  • Salary sacrifice involves redirecting part of your pre-tax income to super, potentially lowering your taxable income.
  • It can help you grow super faster, especially with early and regular contributions.
  • Eligible contributions may qualify for the First Home Super Saver Scheme.
  • Consider budget impacts and access limitations before committing.
  • Annual concessional contribution cap is $30,000 for 2025FY, with penalties for exceeding.

Full Article:

Making additional contributions to your superannuation through salary sacrifice can be a valuable tool to grow your retirement savings while potentially reducing your current tax burden. However, it’s essential to understand both the benefits and limitations to determine if it aligns with your financial goals.

Salary sacrifice is

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