Research from St George Bank covering the 50-plus market reveals that only one in two Australians aged 50 and over divert their savings into super.
The survey found that only 26 per cent of respondents had reviewed their financial plan into the lead-up to 30 June, suggesting that a portion of this age group may be unprepared for tax time.
St George retail banking general manager Ross Miller urged this age group to consider strategies to prepare themselves for tax time, including pre-paying their deductible expenses before 30 June 2017.
“This includes insurance premiums, investment loan interest payments (i.e. margin loans) and the cost of maintenance and repairs to investment properties. That way, you can claim the deduction this year,” Mr Miller said.
He also urged individuals to get their paperwork in order, compiling receipts for work-related expenses such as uniforms, training courses and learning materials.
“If you work from home this, can include claiming a computer, phone or other electronic device as a work-related expense,” Mr Miller said.
He also urged individuals to take note of the reduced concessional caps from 1 July.
“You might be able to contribute before tax contributions up to $10,000 more this financial year compared to future financial years (after 1 July 2017), when the before-tax contribution cap for those aged 50-64 reduces from $35,000 to $25,000,” Mr Miller said.
“You may be able to claim an 18 per cent tax offset on super contributions of up to $3,000 made on behalf of your non-working or low income-earning spouse. You can also split your employer super contributions with your spouse.”