What’s New in 2024? A Must-Read for Your Financial Journey!

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Welcome to our blog where we keep you in the loop about the latest and greatest updates in the complex world of personal finance. It’s a brand-new financial year, and boy, do we have some important changes to share with you! 

  1. Superannuation Guarantee Contribution (SGC) Rate Increase:
First things first, the SGC rate has gone up! It’s now sitting pretty at 11%. That means more money flowing into your super fund. It’s like a little bonus boost to help you build a comfortable retirement nest egg. Cha-ching! 

With the SGC rate going up, it’s crucial to review your salary sacrifice arrangements. Why? Well, we want to make sure you don’t inadvertently breach the concessional cap, which is currently set at $27,500 per annum. This cap represents the maximum value of pre-tax contributions you can make to your super. The concessional contribution cap includes contributions such as employer contributions (including Superannuation Guarantee contributions), salary sacrifice contributions, and personal contributions claimed as a tax deduction. 

By reviewing your salary sacrifice contributions, we can help you strike the right balance between maximising your super savings and staying within the limits. 

However, it’s worth noting that some individuals may have the opportunity to exceed the annual concessional cap. If you have carry-forward unused concessional contributions from previous years, you might have some flexibility. This means you could potentially make additional contributions above the cap without incurring excess contribution tax. It’s a valuable option for those who didn’t fully utilise their concessional cap in prior years. Our skilled Wealth Partners can assess your situation and determine if you have any room to optimise your super contributions within the rules. 

  1. Temporary Pension Payment Relief Measures Removed:
Now, we need to cover off the temporary pension payment relief measures. Sadly, they’ve been taken off the table. While they provided some flexibility during tough times, it’s important to reassess your retirement strategy and ensure your financial plans are still on track for a few reasons.  

Firstly, drawing down on the pension balance at a faster rate to meet the increased payment requirements can potentially deplete your capital faster than anticipated. This can impact the sustainability of your retirement income and the longevity of your savings. It’s important to evaluate the impact of increased withdrawals on your overall financial situation and adjust if necessary. 

Secondly, excess income from the pension payments might need to be reinvested elsewhere. If you find yourself with more income than you require for your day-to-day expenses, it presents an opportunity to consider alternative investment options. Reinvesting these excess funds strategically can help you generate additional returns, build a diversified portfolio, or create a contingency fund for unexpected expenses.  

By reassessing your retirement plans in light of increased pension payments, you can ensure that your financial strategy remains aligned with your desired lifestyle and future aspirations. Our team is here to provide personalized advice and assist you in optimizing your retirement plans to maximize your income, preserve capital, and explore potential investment opportunities. Give us a call today to schedule a discussion and ensure your retirement plans are on the right track. 

There are minimum pension payment requirements that you need to be aware of. These requirements dictate the minimum amount you must withdraw from your pension account each year. It’s important to meet these minimums to ensure you’re complying with the regulations.  

The minimum pension payments are influenced by your age. As you get older and wiser, the required percentage increases. It’s like a nudge to ensure you’re using your hard-earned super to fund your retirement lifestyle. So, remember to check the current rules based on your age and make sure you’re meeting those minimums. 

Age as at 1 July Minimum Drawdown
Preservation to age 64 4%
65 to 74 5%
75 to 79 6%
80 to 84 7%
85 to 89 9%
90 to 94 11%
95 and over 14%
Our team of financial experts can help you navigate these requirements and design a pension payment plan that aligns with your financial goals while adhering to the minimum thresholds. It’s all about finding the right balance between meeting the minimums and managing your pension account to sustain your retirement income for the long haul.  

  1. Indexation of Transfer Balance Cap:
Alright, let’s talk about the Transfer Balance Cap (TBC). It’s a limit on how much you can transfer into the tax-free retirement phase of your super account. In the 2024 financial year, the TBC got a boost and has been indexed to $1,900,000. That means you can now have more money in your retirement phase without getting hit with excess tax.  

Just a heads up, if you’ve already started a retirement income stream, this indexation might affect how much TBC you have left. Our experts are here to help you figure out what this means for your retirement plans and make the most of the increased TBC. 

  1. Total Superannuation Balance (TSB) and Indexation:
Now, let’s chat about the Total Superannuation Balance (TSB). It’s basically the total value of all your super accounts, both in the accumulation and retirement phases. In the 2024 financial year, the TSB cap also got a bump and has been indexed to $1,900,000. Why does this matter? Well, your TSB determines if you’re eligible for certain super measures and perks. It’s important to keep an eye on your TSB to make sure you’re making the most of available opportunities while staying within the cap.  

The indexation of both the Transfer Balance Cap and Total Superannuation Balance to $1,900,000 offers a chance to grow your super savings while enjoying tax advantages. But remember, it’s essential to consider how these changes impact your unique financial situation and retirement goals. Our team of Wealth Partners is here to provide friendly advice and guide you through the ins and outs of these indexations. Give us a shout, and let’s explore how you can leverage these changes for a bright financial future. 


In the ever-changing world of finance, staying informed is the key to financial success. With the SGC rate increase, removal of temporary pension payment relief measures, and adjustments to the transfer balance cap and total superannuation balance, it’s essential to stay on top of the latest developments.  

Phew, we covered a lot of ground today! Remember, understanding these changes is vital for your financial well-being. So, what’s the next step? If you’re an existing client, reach out to your dedicated Wealth Partner! They’re ready to chat, answer your questions, and help you make the most of these new updates. Don’t hesitate to pick up the phone and give them a call. They’re your go-to guide on this financial adventure! 

If you’re reading this blog and haven’t yet become a part of our financial family, we’d love to hear from you! Take that first step towards financial confidence by clicking on the “Book an Appointment” button on our website. It’s your ticket to a complimentary initial discussion with our expert team. During this chat, we’ll get to know you, understand your goals, and provide valuable insights tailored to your unique situation. Whether you’re just starting your financial journey or looking to optimise your existing strategies, our team is here to support you every step of the way. So, don’t hesitate! Book that appointment now and let’s embark on a successful financial adventure together! 

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