Dear Clients and Stakeholders,
If your income is approaching or above $190,000, small decisions made early in the year can have an outsized impact by 30 June 2026—particularly around super contributions, investment gains/losses, trust distributions, and the timing of income and deductions.
This checklist is designed to be practical and easy to share. If you forward it to family or friends, they may also be eligible for a complimentary 45-minute Financial Health Check (details below).
1 The “why now” in one minute
At higher income levels, the top marginal tax rate quickly comes into play. Effective planning is usually about:
- Shifting taxable income into legitimately lower-tax environments (e.g., superannuation, companies) where appropriate
- Timing (bringing deductions forward / deferring income or gains where feasible)
- Structure and compliance (trust distribution paperwork, correct entity use, substantiation)
2 Quick reference: resident tax brackets that matter most
If you’re an Australian tax resident, the key thresholds most high-income earners interact with include:
- $135,000–$190,000 (37% marginal tax rate range)
- $190,001 and above (45% marginal tax rate range)
Plus Medicare levy and potentially the Medicare levy surcharge depending on circumstances.
3 FY2025–26 High-Income Tax Checklist (do these before 30 June)
Use this as a conversation starter with us:
Super & contributions (and cashflow preparation)
- Check how much concessional cap you’ve already used (employer SG + salary sacrifice + personal deductible contributions)
- Consider whether carry-forward (unused) concessional caps may be available
- If income is high, check potential Division 293 exposure (extra tax on concessional contributions, general for adjusted income > $250k)
Investments
- Review whether you should realise capital gains/losses this year (tax-loss harvesting and CGT timing)
- Confirm whether any assets are eligible for the CGT discount (held > 12 months)
Business & structures
- Trust distributions: confirm you’ll have the right resolutions and documentation completed on time
- Business owners: sanity-check whether your structure still matches how the business is operating (risk, growth, profit retention, succession)
Deductions
- Review legitimate work-related and investment-related deductions (including prepayments where rules allow)
- If you pay for advice, consider whether part of the tax/financial advice fee may be deductible (subject to the purpose and documentation)
4 Key strategies
A, Concessional super contributions (often the “first lever”)
Concessional contributions can be tax-effective, but you need to manage:
- The annual cap
- Your employer contributions already made
- Whether you can use unused cap amounts from prior years (carry-forward rules)
- Whether Division 293 and/or Div296 could reduce the benefit if your income is high (Div 293) or your total super balance exceeds $3m (Div 296).
Practical tip: Don’t wait until June—processing times and payroll cycles matter.
B, Non-concessional contributions (and family opportunities)
Where appropriate, after-tax contributions may help long-term planning and estate outcomes, but eligibility depends on factors like total super balance and contribution rules.
C, CGT timing and tax-loss harvesting
If you hold shares, ETFs, crypto, or investment property:
- Timing a sale across financial years can materially change outcomes
- Realising capital losses strategically can offset current or future capital gains
- CGT discount eligibility is often the difference between “ok” and “painful”
D, Trusts and companies (income splitting and profit retention)
For business owners and families:
- Trust distributions can assist with income allocation, but require correct compliance steps
- Companies can sometimes assist with profit retention (not always “tax saving” immediately—but often useful for funding growth and managing volatility)
E, Medicare levy surcharge and private health positioning
This is often overlooked. If relevant, we’ll review whether your current health cover settings match your tax position.
F, Charitable giving (if you already donate)
If you support charities, ensure gifts are structured correctly and timed appropriately for the year you want the deduction.
G, Advice fee deductibility (commonly missed)
In some cases, fees related to managing tax affairs and/or income-producing investments may be deductible, but not all advice is deductible and documentation matters. We can help you structure this properly (including clear invoicing where appropriate).
5 A better way to share wealth: 7 family discussion prompts (forward friendly)
If you’re discussing finances with your spouse, adult children, or parents, these questions tend to unlock clarity:
What does “financial security” mean for our family in the next 12–24 months?
What are our top 3 risks (income, health, property, cash flow, business)?
If interest rates rise (or fall), what changes should we make?
Are we over-concentrated (e.g., property heavy, single industry, single income)?
Do we have a clear plan for super contributions and retirement milestones?
If something happened to one of us, would the family be financially and legally prepared?
What is the one decision we’ve delayed that would remove stress if completed?
Call to action: book a complimentary tax planning + financial strategy session
If you want to optimise outcomes before 30 June 2026, book a Tax Planning & Financial Strategy Meeting with our team.
In a typical session, we’ll cover:
- FY2025–26 income estimate + tax position
- Super contribution strategy (cap management, carry-forward eligibility, Division 293 considerations)
- Investment gains/losses and timing plan
- Structure check (trust/company/salary mix) and key compliance actions
- A short “next 90 days” action plan
Book online: https://jtca.com.au/appointment/ (select existing client consultation)
Or email info@jtca.com.au to arrange a time.
Refer family or friends and they receive a complimentary 45-minute Financial Health Check
(Bookings must be made by 31 March 2026)
You’re welcome to forward this newsletter to family and friends who may benefit from a second set of eyes on their finances.
Referral offer:
Anyone referred by an existing client who books by 31 March 2026 will receive a complimentary 45-minute Financial Health Check, which includes:
- General financial guidance
- A practical next-steps roadmap
- Identification of key risks and planning opportunities
To claim the offer:
- Email info@jtca.com.au with the subject line “Health Check – Referral”
- Include the referrer’s name and a preferred contact number
- We’ll confirm eligibility and arrange the session
Please note: availability is limited and the offer will close once appointment capacity is reached.
Disclaimer: This bulletin is general information only and does not consider your personal circumstances. Tax and super rules are complex and outcomes depend on your full situation. Please seek advice before acting.
Warm regards,
JTCA Partners
