A Great Way to Reduce Tax!
Posted by
Matt Hale
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As we move closer to the end of the financial year (& another winter), some good news is on the horizon if you want to reduce your tax & improve your future retirement savings!
Now, retirement is a long way off for most of us, but “little drops of water make a mighty ocean”. Superannuation is no different.
For someone my age (38) earning $150,000 annually before tax, the impact of salary sacrificing $1,000 each yearly looks like this.
- $1,000 extra goes into your super account.
- $12 per week less in your salary
- $390 each year saved on tax.
If you keep doing it until age 65, you will have more than an extra $65,000 in your super.
I love this website – https://paycalculator.com.au/ – it helps me understand how much tax I pay & the impact of a pay rise or salary sacrifice on my take-home pay!
Get in touch to chat or call us to know how we can help you find an extra $1,000 each year to put into your super – it could be via home loan savings or even better structuring & accountability on your cash flow.