Contribution Cap Increased
From 1 July 2014 the concessional contributions cap for persons under the age of 50 will increase from $25,000 to $30,000. This is the first time the cap has risen in five years.
Additionally, if you’re aged over 49, your cap limit will increase even more to $35,000.
As non-concessional contribution caps are typically 6 times the concessional cap, the limit per annum of non-concessional contributions will also increase to $180,000. This will mean that the three year,” bring forward rule” cap for non-concessional contributions will rise to $540,000.
However, if you are planning on utilising the “bring forward rule” and you ‘’trigger’’ the bring forward period prior to 1 July 2014 your maximum three year amount will remain at $450,000. Therefore you may be better to hold of triggering the period until the 2014/15 year. If in doubt seek professional advice.