the personal contribution and the superannuation your employer pays(Super guarantee) are both included in the 25k cap. if you go over 25k, you'll pay a small penalty and pay tax on the interest the funds earn and you can take the extra funds out. or keep the funds in and pay more tax.
You can only withdraw tax free from super if you're 60 and over. If your preservation age is under 60 you could pay tax depending on how much you withdraw and whether it's lump sum or income stream.
In a trust - when the income is divided to beneficiaries to lower business tax purposes, can the beneficiaries then lower there personal tax by paying into their super?
the personal contribution and the superannuation your employer pays(Super guarantee) are both included in the 25k cap. if you go over 25k, you'll pay a small penalty and pay tax on the interest the funds earn and you can take the extra funds out. or keep the funds in and pay more tax.
You can only withdraw tax free from super if you're 60 and over. If your preservation age is under 60 you could pay tax depending on how much you withdraw and whether it's lump sum or income stream.
Correct thanks!
In a trust - when the income is divided to beneficiaries to lower business tax purposes, can the beneficiaries then lower there personal tax by paying into their super?
Yes that definitely sounds possible but best to speak to an accountant who knows the whole group. It’s quite complex and important to get it right!