The stage three tax cuts are set to take effect from the 1st of July 2024. These cuts will bring tax relief, particularly for higher-income earners, creating exciting opportunities to boost retirement savings.

They involve:

• Removing the $120,000 to $180,000 tax bracket.
• Increasing the top tax bracket threshold from $180,000 to $200,000 and
• Reducing the marginal tax rate faced by taxpayers in the $45,000 to $200,000 tax bracket from 32.5% to 30%.

This episode discusses some strategies for high-income earners to consider and take advantage of the opportunities that the tax cuts will create.