--- title: "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts" description: "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts" image: https://rubiix.com.au/hubfs/Imported_Blog_Media/tax-planning-strategies-scaled.jpg --- ** [![Rubiix Business Accountants Logo](https://rubiix.com.au/hs-fs/hubfs/Logo_Rubiix_BeigeGreen.png?width=150&height=56&name=Logo_Rubiix_BeigeGreen.png "Rubiix Business Accountants Logo")](https://rubiix.com.au) This is a search field with an auto-suggest feature attached. - There are no suggestions because the search field is empty. 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[![Contact Us](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/47575312/b78cd907-2dd9-4500-9742-df3583eef4ed.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/47575312/b78cd907-2dd9-4500-9742-df3583eef4ed) # Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts March 15, 2024 > Imagine what you could do with your tax saved. You could: In this post, we’ll explore effective strategies to potentially [reduce your tax liability and discuss how best to utilise your savings](https://rubiix.com.au/taxation-services). You’ll learn about optimising your superannuation, the practical use of family trusts, and the advantages of incorporating a ‘bucket company’ into your financial planning. ## Why Reduce Your Tax Now Yes, the end of financial year approaching FAST. Yes, NOW is the time to discuss your [2024 tax reductions with your business accountants](https://rubiix.com.au/taxation-services) before 30 June 2024. Yes, let’s GROW your wealth. ***Ok, so what?*** Speak to the [Rubiix team](https://rubiix.com.au/contact-us), your friendly business accountants on key priorities including: ## "Cap" Tax Using a "Bucket Company" In the lead up to 30 June 2024, we want you to know **why using a “bucket company” **can be a great strategy for saving tax on trust profits distributed with your business accountants. ### Profits from a Trust Do you have a Discretionary or Family Trust that generates profits? If yes, then this strategy may apply to you. A “bucket company” allows you to “cap” the tax on profits distributed by a trust to 30% or 25%. This is much less than the individual top marginal rate of 47%! **Here’s how it works:** Assume a trust earns $250,000 in profits from business. **Option 1:** Distribute profits 50 / 50 to Individuals 1 and 2. Total tax (inc. Medicare Levy) payable = $66,734 (26.7%) **Option 2:** Distribute $90,000 each to Individuals 1 & 2 and distribute balance of $70,000 to a “bucket” company at a 25% tax rate. Total tax payable = $60,534 (24%). (*Note: This strategy assumes that the $70,000 in cash is available to be distributed to a bucket company, otherwise what is known as a Div 7A Loan Agreement will need to be entered into and loan repayments made over a 7-year period.)* ***The VALUE of this strategy is $7,100 in TAX SAVED!*** The cash in a “bucket company” can be used to invest in shares, property, or to lend to other entities at a specific interest rate. **IMPORTANT: Please discuss this with us BEFORE you do it**. There are different tax laws that affect the use of this strategy, and whether your “bucket company” can use a tax rate of 30% or 25%. As your Rubiix business accountants, we‘re aware of these tax laws and can make this easy for you. [Get in Touch ](https://rubiix.com.au/contact-us) ## Superannuation Tax Opportunities When you retire, your superannuation is likely to become an important source of your income. *That’s why you must top it up while you are working.* ***But did you know***, there are also some [excellent tax benefits](https://rubiix.com.au/business-accounting-services) you can take advantage of right now – just by making your own voluntary superannuation contributions? Generally, money invested in super is taxed at a lower rate than your personal income tax rate. In the lead-up to 30 June 2024, we want you to be aware of opportunities to save tax with super contributions. For business owners wanting more control over how their super is invested, [SMSF services](https://rubiix.com.au/self-managed-super-funds) open up options that standard funds do not offer. ### Tax Benefits from Superannuation Contributions There are several ways you can get tax benefits from super contributions: #### How "Concessional" Super Contributions are Taxed Concessional (before tax) super contributions include: These contributions are taxed at 15% when they are received by your super fund (up to a limit of $27,500 per year for 2024 and $30,000 per year in 2025), provided your annual earnings combined with superannuation contributions are less than $250,000 annually. *Personal super contributions are especially useful for people who are on higher marginal tax rates or if their employer refuses to set up a salary sacrifice arrangement.* The people who would benefit the most are those who earn above $45,000 per year, as this is where the marginal tax rate plus Medicare Levy rises to 34.5%. Claiming a tax deduction on super contributions effectively makes your tax rate only 15%. **That’s a huge tax saving.** #### Catch Up Super Contributions If you haven’t made maximum annual super contributions in any year from 2019 onward, you can make “carry-forward” concessional super contributions if you have a total superannuation balance of less than $500,000. You can access their unused concessional contributions caps on a rolling basis for five years. Amounts carried forward that have not been used after five years will expire. ### How low-income earners are taxed If you’re a low-income earner (earning up to $37,000 per year), the low-income superannuation tax offset ensures that you don’t pay a higher rate of tax on your super contributions than your income tax rate. The offset will be paid directly to your super account and the payment will be equal to 15% of your concessional contributions for the year, capped at a maximum of $500. Individuals who earn between $43,445 and $58,445 during the 2024 financial year may also be eligible for super co-contributions from the government of 50 cents for each dollar, up to a maximum of $1,000 in non-concessional (after tax) contributions. ### How high-income earners are taxed If you earn more than $250,000 a year (including super contributions), your concessional contributions are taxed at an additional 15%, bringing the total tax on these contributions to 30%. However, this is still less than your marginal income tax rate of 47%. This extra 15% is known as Division 293 tax. Only the concessional contributions which make your total income exceed $250,000 are subject to the additional tax. If your concessional contributions exceed the concessional contributions cap of $27,500 per year, the excess is included in your tax return and taxed at your marginal tax rate (less an allowance for the 15% already withheld by your super fund). You can choose to withdraw some of the excess contributions to pay the additional tax. ### Urgent for Trusts: Avoid extra tax with a Trust Distribution Resolution Do you have a Discretionary Trust also known as a Family Trust? If yes, keep reading to complete your Trust Distribution Resolutions before 30 June. Avoid paying extra tax of up to 47% of Trust profits. ### How to avoid paying extra tax If a Trustee of a Trust fails to make a resolution to distribute the income of the Trust before the end of the financial year, the Trustee may be assessed by the Australian Taxation Office (ATO) on the Trust income at the highest marginal tax rate of 47%, rather than the intended beneficiaries being taxed at generally much lower tax rates. ### How we can help you Even though preparing a Trust Distribution Resolution before the end of the financial year can be quite complex, we need to help you to comply with the trust taxation laws. ### What's involved in trust distribution resolution ### Next Steps To Reduce Your 2024 Tax Contact our friendly [Rubiix business accountants](https://rubiixbusinessaccountants.com.au/) today to book your Tax Planning meeting before 30 June 2024. Whether you want to discuss tax savings with superannuation contributions, trusts, or want the most out of your tax reductions this year, you can rely on us to help you save on your tax. The sooner we start, the sooner we can help you save your 2024 tax and allow enough time to implement tax saving strategies, to help you grow your wealth and financial freedom. Think reductions. Think Rubiix. [GET IN TOUCH](https://rubiix.com.au/contact-us) #### Disclaimer This post is for informational purposes only and does not constitute tax, legal, or accounting advice. Each individual’s or company’s financial situation is unique, and readers should consult with Rubiix Business Accountants or another professional advisor for advice tailored to their specific circumstances. Tax laws are complex and subject to change, which can affect the strategies mentioned in this post. *Rubiix Business Accountants does not accept any responsibility for any loss which may arise from reliance on information contained in this post.* Please note that the tax savings strategies discussed should be reviewed by a tax professional and are based on laws applicable as of the date of this post. - [News](https://rubiix.com.au/news/tag/news) - [Tax Planning](https://rubiix.com.au/news/tag/tax-planning) - [Strategy](https://rubiix.com.au/news/tag/strategy) - [Superannuation](https://rubiix.com.au/news/tag/superannuation) - [Trusts](https://rubiix.com.au/news/tag/trusts) - [Profits](https://rubiix.com.au/news/tag/profits) - [Blog](https://rubiix.com.au/news/tag/blog) #### Share - [** ](mailto:?subject=Check%20out%20https://rubiix.com.au/news/tax-saving-strategies&utm_medium=social&utm_source=email%20&body=Check%20out%20https://rubiix.com.au/news/tax-saving-strategies&utm_medium=social&utm_source=email) - [** ](http://www.facebook.com/share.php?u=https://rubiix.com.au/news/tax-saving-strategies&utm_medium=social&utm_source=facebook) - [** ](http://www.linkedin.com/shareArticle?mini=true&url=https://rubiix.com.au/news/tax-saving-strategies&utm_medium=social&utm_source=linkedin) ## Related Posts ### [What Business Expenses Are (and Aren’t) Tax Deductible in Australia](https://rubiix.com.au/news/what-business-expenses-are-and-arent-tax-deductible-in-australia) Jun 30, 2025 ### [New Year, New Strategic Planning: Your Guide to a Productive Initial Meeting Agenda](https://rubiix.com.au/news/strategic-planning-for-business-growth-your-guide-to-a-productive-initial-meeting-agenda) Dec 18, 2024 ### [Common Accounting Mistakes Small Businesses Make - and How to Avoid Them](https://rubiix.com.au/news/common-accounting-mistakes-small-businesses-make-and-how-to-avoid-them) Mar 24, 2026 ### [Preparing for the New Financial Year: A Practical Checklist for Business Owners](https://rubiix.com.au/news/preparing-for-the-new-financial-year-a-practical-checklist-for-business-owners) May 27, 2026 ### [Rubiix is a Finalist in the 2025 Australian Professionals Small Business Champion Awards](https://rubiix.com.au/news/rubiix-is-a-finalist-in-the-2025-australian-professionals-small-business-champion-awards) Jul 15, 2025 [![Logo_Rubiix_BeigeGreen](https://rubiix.com.au/hs-fs/hubfs/Logo_Rubiix_BeigeGreen.png?width=205&height=77&name=Logo_Rubiix_BeigeGreen.png)](https://rubiix.com.au/) Rubiix Business Accountants Level 10/50 Queen Street Melbourne, Victoria Australia 3000 #### [About](https://rubiix.com.au/about) - [About Us](https://rubiix.com.au/about) - [Rubiix Care Factor](https://rubiix.com.au/care-factor) - [Meet the Team](https://rubiix.com.au/meet-the-team) - [Careers](https://rubiix.com.au/meet-the-team#careers-at-rubiix) - [Testimonials](https://rubiix.com.au/testimonials) - [FAQs](https://rubiix.com.au/faqs) - [Terms & Conditions](https://rubiix.com.au/terms-conditions) #### [Services](https://rubiix.com.au/our-services) - [Our Services](https://rubiix.com.au/our-services) - [Business Accounting Services](https://rubiix.com.au/business-accounting-services) - [Taxation Services](https://rubiix.com.au/taxation-services) - [Business Strategy & Coaching](https://rubiix.com.au/business-strategy-coaching) - [Self Managed Super Funds (SMSF)](https://rubiix.com.au/self-managed-super-funds) #### [Meet the Team](https://rubiix.com.au/meet-the-team) #### [News](https://rubiix.com.au/news) - [Blogs](https://rubiix.com.au/news/tag/blog) - [Videos & Presentations](https://rubiix.com.au/videos-and-presentations) #### [Testimonials](https://rubiix.com.au/testimonials) #### [Client Hub](https://rubiix.com.au/client-hub) #### Connect With Us [![linkedin_icon_white_100x100px](https://rubiix.com.au/hubfs/linkedin_icon_white_100x100px.svg)](https://www.linkedin.com/company/rubiix/)  [![Facebook-icon_white_100x100px](https://rubiix.com.au/hubfs/Facebook-icon_white_100x100px.svg)](https://www.facebook.com/RubiixCA/)  [![YouTube_icon_white_100x100px](https://rubiix.com.au/hubfs/YouTube_icon_white_100x100px.svg)](https://www.youtube.com/channel/UCEOuzaQxPCamE0EY8mZ90TQ)  [![tik-tok-white](https://rubiix.com.au/hs-fs/hubfs/tik-tok-white.png?width=32&height=32&name=tik-tok-white.png)](https://www.tiktok.com/@rubiixba) #### Contact Us Tel: [03 9603 0066](tel:0396030066) Fax: +61 3 9603 0077 [reception@rubiix.com.au](mailto:reception@rubiix.com.au) We acknowledge the Traditional Owners of the land on which we live and work, and we pay our respects to their Elders, past and present. We are committed to diversity and inclusion, and we celebrate people of all backgrounds, cultures, and identities. © 2025 Rubiix Business Accountants. All Rights Reserved. ABN 18 141 971 360. TOP Close ## Talk with a Rubiix Expert Tell us a bit about yourself so we can organise the right expert to chat with. ### What our customers say > | We highly recommend Stuart and the Rubiix team for businesses in the franchise space. Having a trusted and valued business accounting firm with us along the journey eases some of the pressures associated with running a business but also gives us an avenue to seek help in any facet of business. | > | --- | **Simon Morcom** Snap Printing > | We highly recommend Stuart and the team at Rubiix if you are a business owner or have complex personal tax circumstances. They genuinely care, are very friendly and are always ready to help where possible. | > | --- | **Daryl & Trudi Whitehead** Australian Leak Detection > | We have used Rubiix's knowledge and expertise to help in all financial decisions both personal and business for many years now with great success. I can thoroughly recommend their services, knowledge and expertise as accountants and financial advisers. | > | --- | **Lyndon N. Dolling** Maidon Pastoral Pty Ltd > | I consider Rubiix my very own financial sounding board. For over 5 years, Rubiix has provided me with constructive advice on tax matters, business structure, capital gains, cash flow for investments and general business. From this, I was able to implement the necessary financial strategies to keep things moving forward. | > | --- | **Ezio & Bernie Ficorilli** > | We could not recommend Stuart and the team at Rubiix enough if you are a business owner or have complex personal tax circumstances. They have been by our side every step of the business journey and having a trusted advisor has been the best thing for our business. | > | --- | **Darren Still & Rebecca Rosenbrock** R.E.D.S Concreting Pty Ltd > | I engaged in accounting services from Rubiix 10 years ago and Rubiix still provides me with valuable tax assistance and are easily accessible for all issues. I would highly recommend Rubiix to anyone looking for an accounting firm. They are quite the professional team. | > | --- | **The Park Hotel** > | Rubiix has been instrumental in my livestock business. Matthew and Stuart are very professional and easy to get along with, are available when I need them and can simplify my business when required to improve my knowledge. I would recommend Rubiix to anyone looking for excellent business advice. | > | --- | **Ben Greenwood** Greenwood Livestock > | We consider the staff at Rubiix to be more like friends than business accountants. They are so easy going when it comes to preparing our individual tax submissions (which includes our investment properties) and now helping us to implement succession plans. It’s been a breeze, having been associated with their friendly team for over 10 years. | > | --- | **Graham & Lesley Farrell** > | Together, with Stuart at Rubiix, we were able to put together a customised tax plan, structure and processes for my sign writing business. | > | --- | **Russell Sargent** [View All Testimonials](https://rubiix.com.au/testimonials) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "admin", "url" : "https://rubiix.com.au/news/author/admin" }, "dateModified" : "2026-07-22T04:56:26.654Z", "datePublished" : "2024-03-15T11:08:00.000Z", "headline" : "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts", "image" : [ "https://rubiix.com.au/hubfs/Imported_Blog_Media/tax-planning-strategies-scaled.jpg" ], "mainEntityOfPage" : { "@id" : "https://rubiix.com.au/news/tax-saving-strategies", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://rubiix.com.au/hubfs/Logo_Rubiix_PurpleGreen.png" }, "name" : "Rubiix Business Accountants" } } ``` ```json { "@context" : "https://schema.org", "@id" : "https://rubiix.com.au/news/tax-saving-strategies#article", "@type" : "BlogPosting", "articleSection" : "News", "author" : { "@type" : "Person", "name" : "admin", "url" : "https://rubiix.com.au/news/author/admin" }, "dateModified" : "2026-07-22", "datePublished" : "2024-03-15", "description" : "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts", "headline" : "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts", "image" : { "@type" : "ImageObject", "height" : 1707, "url" : "https://47575312.fs1.hubspotusercontent-na1.net/hubfs/47575312/Imported_Blog_Media/tax-planning-strategies-scaled.jpg", "width" : 2560 }, "inLanguage" : "en-AU", "isPartOf" : { "@id" : "https://rubiix.com.au/#website" }, "keywords" : [ "News", "Tax Planning", "Strategy", "Superannuation", "Trusts", "Profits", "Blog" ], "mainEntityOfPage" : { "@id" : "https://rubiix.com.au/news/tax-saving-strategies", "@type" : "WebPage" }, "publisher" : { "@id" : "https://rubiix.com.au/#business" }, "url" : "https://rubiix.com.au/news/tax-saving-strategies" } ``` ```json { "@context" : "https://schema.org", "@type" : "BreadcrumbList", "itemListElement" : [ { "@type" : "ListItem", "item" : "https://rubiix.com.au/", "name" : "Home", "position" : 1 }, { "@type" : "ListItem", "item" : "https://rubiix.com.au/news/tag/blog", "name" : "News", "position" : 2 }, { "@type" : "ListItem", "item" : "https://rubiix.com.au/news/tax-saving-strategies", "name" : "Top Tips for Tax Planning & Reduction: Profits, Superannuation & Trusts", "position" : 3 } ] } ```