Here are some possible strategy modifications arising from this year’s budget:

• Those earning more than $180,000 per annum and not maximising concessional contributions into super, consider increasing salary sacrifice contribution levels.

• Those in the workforce who will be 49 or older on 30 June 2014 should consider strategies to increase the level of concessional contributions being paid into superannuation up to the new $35,000 limit from 1 July 2014.

• Those in the workforce who will be younger than 49 on 30 June 2014 should consider strategies to increase the level of concessional contributions being paid into superannuation up to the new $30,000 limit from 1 July 2014.

• Those who are looking to add more to an account based pension or switch provider may want to plan for this to occur before 1 January 2015 due to the changes to means testing deeming rules.

• Those who are making the maximum allowable concessional contributions into super should consider the implications of receiving 9.5% standard employer super contributions from 1 July 2014 and adjust salary sacrifice levels accordingly.

• Salary sacrifice strategies to be re-assessed under the new Medicare Levy arrangement and the increases in concessional contribution limits from 1 July 2014.

• Personal superannuation contribution strategies to be re-assessed due to the increases in non-concessional contribution limits from 1 July 2014.

• Those with a HELP debt may want to consider a voluntary repayment before 1 June 2016 to reduce potential increases in interest increases.

• If turning Age Pension age before the end of 2014 but ineligible for the pension due to means testing, consider applying for the Commonwealth Seniors Health Card before superannuation income stream income assessment rules change.

Back to 2014 Budget - Personal Finance Summary main page