As we know there is tax liability if there an excess contributions, and the followings are tips to avoid exceeding the contribution caps:
For Non-Concessional Contributions
• Fully understand what your non-concessional contributions cap.
• Keep a clear bookkeeping record of the amount of contributions and when they were received by your super fund.
• Any amount that you withdraw and re-contribute to your super fund as a personal contribution.
• You are only eligible to bring forward the next two years of contributions if you are 64 year
old or under on 1 July of the first financial year.
• Always check if your employer, or someone else on your behalf have made any contribution to your fund.
• Always check if your contributions are held in another accounts.
For Concessional Contributions
• Fully understand of what your concessional contribution cap.
• Keep a good bookkeeping record which you can track of the amount of contributions and
when they were received by your super fund.
• Double check when your employer actually pays the contributions to your super fund, as it could
be in the next financial year.
• If you have more than one employers, include all of them when you work out your annual contributions.
• Always check how much contribution you will make before stoping or reducing any pre-tax
voluntary contributions to your super fund.
• Just remember super administration fees, insurance premiums on your behalf to your fund
plus income tax deduction for your personal super contributions will count towards
your concessional contributions cap.