Your ultimate EOFY super checklist

If you're making additional super contributions before June 30, be sure you take the right steps to avoid missing out on your tax deduction, writes Craig Day, head of technical services at Colonial First State.

Australians generally have a low level of engagement with their superannuation. Our own data shows that half the nation (51%) are disengaged with their super and have it set on autopilot.

Confusion and uncertainty are the core drivers of this national disengagement, with two in five Australians admitting they find superannuation confusing and the majority (60%) unsure how their super performed last year.

While this apathy has can have significant implications for your financial future, it can also have near-term consequences for those filing a tax return.

Remember: superannuation isn't an investment - it's a tax structure. Knowing the rules is essential to maximising super's tax effectiveness and avoiding paying more tax than you need to.

With the end of financial year fast approaching, now is the perfect time to run through a checklist to ensure you are making the most out of your superannuation.

This includes getting clear on how you can make additional contributions to your super to lower your taxable income or consider topping up your spouse's super.

By taking these steps, you can enhance your retirement savings and potentially reduce your tax liability, setting yourself up for a more secure financial future.

1. Check all your super reached your account

This may sound obvious, but it a critical first step. Particularly when so many Australians are disengaged and simply trust they are receiving the right amount of retirement savings each year.

It's definitely worth making sure all super contributions land in your account so your money earns all the returns you're entitled to.

The best way to check is to log in to your super account. You can also use the ATO's Super Guarantee estimator to check your entitlements, and if you believe there's been a mistake, talk to your employer. There are ways to follow up super payments from past employers as well.

2. Make a pre-tax contribution

Making eligible voluntary contributions to your own super can boost your savings and lower your tax. Pre-tax contributions, also known as concessional contributions, include salary sacrifice and personal deductible contributions.

They reduce your taxable income and are generally taxed at a maximum of 15% in your super fund.

If you are a high-income earner an additional 15% tax may apply to these contributions, but that could still provide a significant tax concession compared to having to pay tax at the top marginal rate.

3. Know your limits

Concessional or pre-tax contributions are capped at $30,000 in 2024-25, including compulsory employer payments.

Non-concessional (after-tax) contributions are capped at $120,000, but depending on your age and total superannuation balance, you may be able to bring forward up to two years of future non-concessional caps into the current year to make non-concessional contributions of up to $360,000.

4. Do the paperwork to claim the deductions

To claim a tax deduction for an eligible voluntary contribution you have made, you must lodge a valid notice of intent (NOI) form with your super fund before you lodge your tax return - or by June 30, 2026.

You must also receive written acknowledgement from your fund and claim the amount in your tax return.

Missing these steps means your contribution won't be claimed as a tax deduction and instead will count towards your non-concessional (after-tax) contributions cap this financial year.

Check the ATO website for the other rules around lodging valid notices. affecting eligibility.

5. Catch up if you can

If you haven't used your annual concessional cap in any of the last five financial years, you may be able to carry-forward the unused amounts to the current year to make concessional contributions above $30,000.

The carry-forward rule helps those who spent time out of the workforce, or worked part-time, to 'catch up' on super. To use carry forward amounts your total superannuation balance must be less than $500,000 at the end of the previous tax year.

6. Consider spousal contributions

Couples can make after-tax contributions to each other's super accounts. This evens up super balances and provides a tax offset to the contributing spouse.

To get the full tax offset of $540, you must contribute at least $3000 and your spouse must earn less than $37,000. The offset phases out at $40,000.

You can also share pre-tax contributions with your spouse through 'contribution splitting', if certain conditions are met.

Get stories like this in our newsletters.