FASEA Superannuation and Retirement Planning

Question 1

Under Australia's superannuation system, what is the minimum Superannuation Guarantee (SG) contribution rate that employers must pay for eligible employees as of 1 July 2025?

Accepted Answer

11.5%

Answer

The SG rate increased to 11.5% on 1 July 2024 and was set to reach 12% by 1 July 2025, but as of the 2024–25 financial year the legislated rate is 11.5%.

Question 2

Which of the following conditions must be met for a person to satisfy the 'retirement' condition of release for their superannuation benefits before age 60?

Accepted Answer

They must reach preservation age and satisfy a trustee that they have permanently retired

Answer

Before age 60, a member must reach their preservation age AND satisfy the fund trustee that they have permanently retired from the workforce.

Question 3

A client born after 30 June 1964 wants to access their preserved superannuation. What is their preservation age?

Accepted Answer

57

Answer

Members born after 30 June 1964 have a preservation age of 57 under current superannuation legislation.

Question 4

What is the annual concessional contributions cap for superannuation in the 2024–25 financial year?

Accepted Answer

$30,000

Answer

The concessional contributions cap increased to $30,000 per annum from 1 July 2024.

Question 5

Under the transfer balance cap rules, what happens when a member's transfer balance account exceeds the general transfer balance cap?

Accepted Answer

The member must pay a 15% excess transfer balance tax and commute the excess

Answer

When the transfer balance cap is breached, the ATO issues an excess transfer balance determination and applies an excess transfer balance tax (15% on the first breach, 30% subsequently) while the member must commute the excess back to accumulation.

(FASEA) Financial Adviser Standards and Ethics Authority Practice Test

(FASEA) Financial Adviser Standards and Ethics Authority Practice Test

FASEA Superannuation and Retirement Planning