Income

6.2.1 Income: Cash Contributions

To record member contributions made in cash, select the ADD CONTRIBUTIONS button from the INCOME tab and select the Member on behalf of whom the contribution is/was made, then select CASH in the Contribution Class field.

Mclowd displays:

Income_cash contribution

Enter the Date of the contribution.
Enter a meaningful Description.
Select the Cash or Bank Account receiving the funds.
Select the Contribution type. Choose from Employer Concessional, Salary Sacrifice Concessional, Self-employed Concessional, Personal Non-concessional, Spouse Non-Concessional or Co-contributions Non-Concessional.

Income_contribution - select Type


NOTE: Mclowd will determine whether or not this contribution is Taxable in the Fund and display Yes or No.

Income_contribution_taxed yes or no


Recent CHANGES TO LAW relating to Concessional Contributions affect posting of some types of Concessional Contributions.

In 2016–17, an individual (mainly those who are self-employed) could claim a deduction for personal super contributions where they met certain conditions. Generally, the individual would need to be deriving less than 10% of their income from employment. This was known as ”the 10% rule” and enabled the self-employed, who generally did not benefit from concessional employer contributions, to enjoy favourable tax treatment on their contributions to super.

Effective 1 July 2017, the 10% maximum earnings condition has been removed. From FY2017-18 onward, persons aged 65 to 74 who meet the work test, will be permitted.

(For further information, please refer to https://www.ato.gov.au/Individuals/Super/Super-changes/Change-to-personal-super-contributions-deductions/)

Adjustments are being made to Mclowd to accommodate this legislative change and permit selection of ”Personal – Concessional” contribution type.


 

Enter the Amount of the contribution.
Click ADD CONTRIBUTION.
The contribution is saved to the Member’s account and the cash amount is added to the selected Bank or Cash account.

 


about the author:

Lorraine Cobcroft

With a background in accounting and financial management, followed by two decades writing software documentation, Lorraine joined the Mclowd team in mid-2016 and is enjoying working with a dynamic team to enhance an innovative product that has the potential to revolutionize the way Australians manage their retirement funding. Lorraine is also an accomplished business writer, ghost-writer, novelist and short-story writer and poet.

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