It’s that time of year again. With 30th of June five days away, I thought it appropriate to post an EOFY to-do list:
Stock up on work-related goods: if you’re thinking of making a work-related purchase, now is the time to do it. Otherwise you will have to wait up to twelve months to claim it on your tax return. Before you start stocking up on pencil sharpeners, however, consider ‘bringing forward work-related expenses such as membership fees and subscriptions’ as per financial planner Laura Menschik (via The Age). Next financial year’s income protection is another tax-deductible no-brainer that you should be paying off right about now.
Make a super contribution: it’s probably too late to ask your employer to sacrifice some of your salary into your super this financial year, but you can still try. Sacrificing salary into super is a good way to reduce taxable income for those earning over $37,000 since the ‘amount you contribute to super will be taxed at 15% when it enters the fund, rather than at your marginal tax rate’ (via Peter Wolfram) For the lowdown on super, check out MoneySmart’s resources; the Super vs Mortgage calculator is particularly awesome.
Make the most of your ill health: if your income is less than $84,000 (or $168,000 as a family) and you’ve spent a lot on medical bills, you can claim back 20% of any expenses over $2120. Stop delaying that elective surgery and get it over and done with, especially since the Government is phasing out this particular type of offset (via Brisbane Times). If surgery isn’t on the operating table, consider stocking up on prescription meds or contact lenses.
Take advantage of EOYFS: retailers try to minimise their stock on hand prior to 30th of June to avoid having to count it, so now’s the time to stock up on Christmas gifts (only six months to go), especially off-season products like BBQs, air conditioners, and fans (via Lasoo blog).