Super goes up. Taxes come down.

The latest income tax and superannuation changes start on 1 July 2024, and it’s good news for all Australians. Here’s a quick rundown of what’s happening.

Marginal tax rates and brackets are changing

Marginal tax rates and brackets are changing for the better on 1 July 2024:

• Income earned under $18,200 remains tax free.
• Tax on the $18,201 to $45,000 income bracket is coming down from 19% to 16%.
• Tax on the $45,001 to $135,000 income bracket is coming down from 32.5% to 30%.

If you earn $90,000 a year, you will pay $1,929 less tax in the 2024/25 financial year compared to the 2023/24 financial year. This equates to an extra $73.90 each fortnight in net pay for you.

Super is increasing

Your retirement savings are getting a boost. The Superannuation Guarantee Charge (SGC) is increasing to 11.5%, up from 11%, which means more contributions towards your financial future.

If you earn $90,000, you’ll now have an additional $450 contributed by your employer to your super each year.

Concessional contribution cap increase

Good news for your savings! The concessional contribution cap is increasing from $27,500 to $30,000.

Did you know:

• If you earn $70,000 a year, from 1 July 2024, you can contribute an extra $2,100* to your super without affecting your take-home pay.
• If you earn $90,000 a year, from 1 July 2024, you can contribute an extra $2,800* to your super without affecting your take-home pay.

* Values have been rounded to the nearest $100.

Ready to take action?

Contact your payroll team to top up your super.

Get sound financial advice

Want to know more about these changes and how they affect you? Book an advice appointment