The end of the financial year is approaching fast, and now is the right time for SMSF members and trustees to re-check their fund. Taking a few things into account before 30 June can help avoid problems later and ensure you don’t miss valuable tax and contribution opportunities.
Contributions – Timing Is Important
Make sure contributions are received by 30 June
For contribution caps and tax deductions, contributions need to reach the SMSF’s bank account on or before 30 June. If you are transferring money between different banks, allow more time for processing delays.
Personal deductible contributions
If you are looking to claim a tax deduction for a personal super contribution, you need to:
- Submit a valid Notice of Intent to Claim a Deduction to the fund
- Receive written acknowledgement from the fund.
This usually needs to happen before the earlier of:
- Lodging your tax return, or
- 30 June of the following financial year.
If you plan to start a pension soon after contribution, make sure the notice is processed before the pension starts. Otherwise, you may not be able to claim a deduction.
Contribution Strategies to Consider
Use unused concessional contribution caps
If your aggregated super balance was less than $500,000 on 30 June of the previous year, you may be able to use unused concessional contribution caps from earlier years. This may allow you to make larger tax-deductible contributions, which may be useful if you have made a significant capital gain during the 2025-26 financial year.
Contribution reserving strategy
SMSFs can use a special rule, allowing a contribution made in June to be held temporarily in a reserve and allocated to a member in July. This simply means the contribution may count towards the following year’s contribution cap while still allowing a tax deduction in the current year. This strategy should be implemented accurately, documented in trustee minutes, and permitted under the fund’s trust deed.
After-Tax Contributions
Non-concessional contributions and the bring-forward rule
Depending on your total super balance as of 30 June, you may be able to use the bring-forward rule to make larger after-tax contributions, allowing you to bring forward future years’ contribution limits and contribute more to super sooner.
Spouse contributions and government co-contributions
You may qualify for additional benefits if:
- You contribute to your spouse’s super fund, or
- You’re a lower-income earner making personal after-tax contributions.
Depending on your circumstances, this could result in a tax offset or a government co-contribution.
Contribution Caps Are Increasing
Current contribution caps for 2025–26 are:
- Concessional contributions: $30,000
- Non-concessional contributions: $120,000
From 1 July 2026, these will increase to:
- Concessional contributions: $32,500
- Non-concessional contributions: $130,000
Pensions and the Transfer Balance Cap
Check minimum pension payments
The minimum annual pension payment must have been made by 30 June 2026 if your SMSF pays account-based pensions. Not meeting the minimum payment requirement can lead to administrative issues and the loss of valuable tax concessions. Other pension types may also have minimum payment conditions, and some have maximum limits that should not be exceeded.
Consider transfer balance cap changes
The general transfer balance cap will increase from $2.0 million to $2.1 million on 1 July 2026. If you are considering starting a retirement pension around year-end, timing may be crucial, as it can impact how much can be transferred into the tax-free retirement phase. Remember that not everyone can access the full general transfer balance cap. Your personal cap may be lower based on your circumstances
Records, Valuations and Audit Preparation
Update asset valuations
Ensure all SMSF assets are valued at market value as close as possible to 30 June and keep supporting evidence.
This is particularly important for:
- Property
- Related-party assets
- Unlisted investments
Review related-party arrangements
Check that any leases, rental agreements, or services involving related parties are:
- Properly documented, and
- Conducted on commercial terms.
Check pension and trustee paperwork
Make sure all pension commencements, lump-sum payments, commutations, and other key transactions are supported by:
- Signed documentation, and
- Appropriate trustee resolutions and minutes.
Final Reminder
A review before 30 June can help ensure your SMSF remains compliant and that you make the most of available contribution and tax-planning opportunities.
If you’re unsure about contributions, pensions, transfer balance caps, or year-end strategies, it’s worth seeking advice before the financial year closes.