2012 Budget – Superannuation Changes
- The Government’s previously announced proposal to provide a higher concessional cap for individuals aged 50 and over, with super balances below $500,000, will be deferred for a further two years.
- From 1 July 2012 to 1 July 2014, the general $25,000 concessional cap will now apply.
- Swan confirmed the Government’s intention to increase the Super Guarantee from 9%-12% incrementally until 2020, with the first increase of 0.25% taking effect on 1 July 2013.
- Low income earners will also see a boost of up to $500 to their superannuation savings ensuring they effectively pay no tax on their superannuation guarantee contributions.
- The Government Co-contribution will be halved from $1,000 to $500.