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AS the end of the tax year looms many people might be planning to contribute extra money to their superannuation accounts.

However, don't go above your contribution limit or you will be stung with penalty tax rates.

To make the most of last-minute deposits to your superannuation you will have to do your homework first, warns Partners Superannuation director Martin Murden.

"Following superannuation legislation changes that took effect this financial year, there are brand new contribution limits and eligibility rules and from the feedback we're getting there is a lot of confusion about what people can and can't do,'' Mr Murden says.

* For everyone with super, the maximum concessional contribution (before tax) is now $50,000 a person.

* The exception is for people aged 50-74. Those in this age group can make concessional contributions up to $100,000. But note, people aged 65-75 will also have to satisfy the work test.
The work test requires you to be employed for 40 hours in a period not exceeding 30 consecutive days.

*If you work for two or more employers, there is no more "double dipping''. Until last year, if you worked for two or more employers, deductions could be claimed for each job, eg. each employer, if you were aged 50 or over.

Now you are restricted to a maximum contribution cap of $50,000 or $100,000, regardless of how many jobs or employers you have.

* If you are self-employed, every dollar put into super up to your limit or either $50,000 or $100,000 is tax-deductible.

* Anyone who goes over their limit, for example puts an extra $5000 into their super, the extra $5000 will be taxed at a penalty rate of 46.5 per cent.

* The amount within your limit will still only be taxed at the concessional rate of 15 per cent.

* It doesn't matter if you are an employee or self-employed, you can make non-concessional (after-tax) contributions of up to $150,000 a year.

* If you're aged under 65 you can also make after-tax contributions in advance and make three years' contributions ($450,000) in one financial year.

* If you are between 65-74 (and satisfy the work test), you can only make a maximum non-concessional contribution of $150,000 in any one year.

* Regardless of age and eligibility, if you don't put your full after-tax non-concessional contribution in this year, it does not carry forward to the following year. If you only put $120,000 in this year you can't put $180,000 in next.

* If you are in a family trust and actively involved in working to generate income for the trust, such as doing the maintenance for rental properties held by the trust, the trust can now make a tax-deductible super contribution of $50,000 or $100,000.

It doesn't matter to the tax office if you put your extra contributions in on June 15 or June 20. However if you leave it to the last minute and for some reason it isn't processed or you miss the June 30 cut-off -- the deadline is gone forever.

Kick-start the new financial year
1 Prioritise your financial goals and set a timeframe to achieve them

2 Take control of your finances and track your spending

3 Use your tax refund to boost your savings in a high interest savings account

4 Direct part of your next pay increase or bonus into a savings account

5 Where possible, pay credit cards in full to save on interest and minimise the use of credit cards to avoid spending beyond your means

6 Start a record-keeping system to track any deductible expenses you are entitled to claim in your tax return next year

7 Make the most of current high interest rates and direct some of your savings into a term deposit

8 Consider consolidating your credit card debt on to one card so you can closely monitor the true state of your finances

9 Set a realistic weekly or monthly budget

10 Consider reducing your outstanding property loan by contributing a lump sum payment such as a bonus or tax refund
Source: Michael Cant, head of retail products, Commonwealth Bank