As an Australian user, I want the Australian-specific superannuation cash-flow feature to be enhanced to be able to handle the ‘carry forward’ of unused concessional contribution cap amounts.

The PL system will need to be adjusted to allow superannuation concessional contributions that exceed the cap for that year (ie, more than $30,000) if there is available carry-forward amounts from previous years. Ie, 30k is the max concessional contribution in any year, and this happens for everyone earning $261k or more. But that person can make pretax concessional contributions above that amount if they have some ‘unused’ cap from previous year There will need to be an input form for the user to enter in the ‘carry forward’ amounts for each of the previous 5 financial years before the start of the scenario (these figures are available to Australia users on their ATO system). The PL scenarios will need to track how much of the concessional cap is unused for each year, and allow that amount to be used in any of the following 5 financial years. The PL system should aim to contribute the oldest amount first, as this amount will not be available as a carry-forward amount once it is older than 5 years. an unused amount can only be used once. see link:

Background: In Australia, we have superannuation ‘concessional contribution caps’ for the allowed amount that can be deposited into Superannuation by the employer for any financial year. This is to prevent extremely high earning individuals from ploughing their income into the very low-tax environment of superannuation funds. But, if we are not a high income individual, we will not exceed that concessional contribution cap. The unused amount is tracked, and we can use it in any of the next 5 financial years if we find ourselves in a situation where we are a high-income individual or where we chose to ‘salary-sacrifice’ large amounts directly into superannuation, and reach the concessional cap for that year, and still have more cash that we would like to put into our low-tax superannuation (instead of being taxed at the top-rate of 44%). This could also be strategy to reduce taxable income in years of high realised capital gains.