Several key super changes which may impact your ability to contribute to your SMSF, are set to take effect from 1 July 2022. These changes create opportunities for all SMSF members, young and old, to grow their retirement savings. What are the superannuation contribution changes? Originally announced in the 2021 Federal Budget, the following changes apply from 1 July 2022: Individuals up to the age of 74, will no longer…  Read more

We are finalists in the Australian Accounting Awards – Superannuation Specialist Accountant of the Year. Petra King from Xperion – Proud to be boring accountants has been short-listed for the Australian Accounting Awards 2022 and named a finalist in Superannuation Specialist Accountant category. The Australian Accounting Awards recognises and acknowledges the achievements of individuals and firms whether they are in the profession’s most senior ranks or if they’re a rising…  Read more

1.     Personal income tax changes 1.1         Increase to low and middle income tax offset (‘LMITO’) The Government has announced a once-off $420 ‘cost of living tax offset’ for the 2022 income year, which will be provided in the form of an increase to the existing LMITO. This will increase the maximum LMITO benefit to $1,500 for individuals and $3,000 for couples, and will be paid from 1 July 2022 when…  Read more

Tax deductibility of COVID-19 test expenses After much speculation, the Government announced that COVID-19 tests, including Polymerase Chain Reaction (‘PCR’) and Rapid Antigen Tests (‘RATs’), will be both:    tax-deductible; and    exempt from FBT; broadly where they are purchased for work-related purposes. This will require the introduction of new specific legislation (i.e., to clarify that work-related COVID- 19 test expenses incurred by individuals will be tax-deductible or FBT exempt…  Read more

You’ll have an extra step to take if you have new employees who start from 1 November 2021 and they don’t choose a super fund.   You may now need to request their ‘stapled super fund’ details from the ATO.   A stapled super fund is an existing super account of an employee that follows them as they change jobs. This change aims to stop your new employees paying extra…  Read more

Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward. Five states in lockdowns After months of keeping the coronavirus under control, five out of eight Australian states and territories are battling the highly infectious Delta variant. In order to prevent the spread, lockdowns in three large cities have been implemented, affecting more than 20 million Australians, or about…  Read more

Is your business ready for 30 June? Hopefully by now you have 2021 tax planning sorted and are ready to plan out the next year. What do you need to do now to make EOFY seamless? Consider automation! There is no better time than 1 July to start afresh. If you got to June and are finding it hard to get your paperwork organised for the end of financial year…  Read more

A Quick Overview The Superannuation Guarantee (SG) is scheduled to increase to 10% from 1 July 2021. If you have employees, you need to be ready for this legislated increase. What is Superannuation Guarantee? The Superannuation Guarantee is the minimum super an employer must pay to their employees super fund. The current SG percentage rate is 9.5% of employees Ordinary Time Earnings, but this is changing. Ordinary Time Earnings or…  Read more

As expected, this year’s Federal Budget has a strong emphasis on job growth and women’s security. From an SMSF perspective, there were some welcome surprises for SMSF trustees, the key measures that you should be aware of are outlined below. All measures outlined below, other than the proposed changes to legacy retirement products, are expected to commence from 1 July 2022, once they have received Royal Assent. Repealing the work…  Read more

Regardless of the size of your superannuation benefits, it is vital that you sort out your estate plans to ensure that you have a well prepared estate plan so that the right assets go to the right beneficiaries.  You need to make sure that you get holistic estate planning advice and have arrangements in place to review your estate plans regularly. Estate plans are not to be set and forgotten.…  Read more

Welcome back to our Weekly Digest. We hope you and your family are safe and doing well. Read on for this week’s update. Proposed Superannuation Reform Measures The Government has announced that it will spend $159.6 million over the next four years to implement a number of reforms to the superannuation system that will save fund members $18 billion in fees and other costs between now and 2030. The key…  Read more

An SMSF is not for every client, even if they do have a significant amount to invest. Factors such as their financial literacy, understanding of the legal, taxation and other requirements, available time and general interest are all things to be considered. SMSF trustees need to understand the obligations associated with undertaking the role. Do you? Obligations with which SMSF trustees must comply under superannuation and taxation laws include: Sole…  Read more

Despite well formulated investment strategies and appropriate investment advice, no trustee could have foreseen the impacts of COVID-19 on financial markets globally. Whilst history suggests that a strong recovery is likely within a relatively short period after large market corrections, it is still too early to know the impact of COVID-19 on members’ retirement plans. If your SMSF has experienced some negative returns, there may be an opportunity to ensure…  Read more

We’ve done it again! Petra has been shortlisted for the Australian Accounting Awards 2020, named as a finalist in the Australian Accounting Awards for Superannuation Specialist category. Accountants Daily’s Australian Accounting Awards showcases the industry’s most prestigious accolades recognising excellence across the entire accounting industry. The awards pinpoint professional development and innovation, showcasing both the individuals and firms which are leading the way in the industry.   Award recipients represent…  Read more

Struggling to pay your super? Unfortunately, super is one of the things to get overlooked, when things get tough. Generally, if you as a business owner don’t pay your suppliers, they will not deal with you anymore and you can’t run your business. So you keep them happy… If you don’t pay the tax office, they may take a while before chasing you. Eventually they do… So you try to…  Read more

Did you come back to work and realised you have issues with Xero payroll? Well, there’s nothing wrong with the actual Xero payroll, but the ATO rules around salary sacrifice and superannuation have changed from 1 January 2020. Legislation changes from 1 January 2020 and how will Xero payroll cope From 1 January 2020, salary sacrificed super contributions can’t be used to reduce your super guarantee obligations, regardless of the amount…  Read more

That’s right! Another tax year is upon us! While we may lodge your return and you may get a nice refund early on, keep in mind that your superfund does not send data to the ATO until later. That means, that if your income is over $250,000 and your employer contributed to your super, your assessment will be amended to include Division 293 and you may be asked to return…  Read more

Just when you thought you got through the tax hurdle, it hits you… Div293 notices… They are never pretty, they are never easy to explain to clients, the Government keeps changing the thresholds and the tax office keeps changing the means of payments… Let’s just say, they are painful no matter how you look at them… and at the end of the day, you just feel like they are trying…  Read more

Have you moved between the jobs? Chances are that you have several superannuation accounts and don’t know what you should do about it… or in fact, you haven’t given it a second thought…there is also a very good chance, you have lost super that you are no longer aware of… The thing is, the more superannuation accounts (funds) you have, the more sets of fees you pay. Paying these additional…  Read more