The S&P/ASX 50 index is home to 50 of the largest shares on the Australian share market. These are predominantly household names and companies that are true blue chip shares.

While not all shares on the index are necessarily in the buy zone, I think there are a few that could be.

Here’s why I would buy these three outstanding ASX 50 shares:

Aristocrat Leisure Limited (ASX: ALL)

The first ASX 50 share to consider buying is Aristocrat Leisure. I’m a big fan of the gaming technology company due to the quality of both it poker machine and digital businesses. I believe both businesses have the potential to grow at an above-average rate over the long term thanks to their quality portfolios, high levels of investment in product design, and strong market positions. Combined, I expect solid earnings growth from Aristocrat Leisure for years to come once the pandemic passes. This could make it a top long term option.

Rio Tinto Limited (ASX: RIO)

Another ASX 50 share I would buy is Rio Tinto. I think the mining giant could be a great option for investors that are wanting to diversify their portfolio with a little exposure to the resources sector. Especially given the recent increase in the iron ore price. This looks to have positioned Rio Tinto perfectly to deliver bumper free cash flows from its world class operations in FY 2020 and FY 2021. And given the strength of its balance sheet, this is likely to lead to the miner rewarding shareholders with handsome dividends.

Woolworths Limited (ASX: WOW)

A final ASX 50 share which I think is worth considering is Woolworths. I’m a big fan of Woolworths due to its quality brands (Woolworths supermarkets, Dan Murphy’s, BWS), their defensive qualities, and its strong management team. I believe they have put the company in a position to generate robust earnings growth for the foreseeable future. And with Woolworths traditionally paying out a good portion of its profits as dividends, this bodes well for investors in search of income in this low interest rate environment.

More reading

• 3 high yield ASX dividend shares for income investors
• UBS picks the best ASX retail stocks for the post COVID-19 world
• Investing $1,000 into these ASX 200 shares could be a smart move
• I think Aristocrat shares are outstanding value
• Why the ASX 200 tumbled lower on Monday and 2 shares to buy

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Woolworths Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post 3 fantastic ASX 50 shares I would buy today appeared first on Motley Fool Australia.

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It’s mid-June and in Australia, that means cold mornings, strawberry moons and tax time preparations. Tax time can be a frantic time of year for a lot of Australians. And come 30 June 2020, the financial year (FY20) will be over and a new one about to start (FY21). We all need to be ready for that to happen – those deductions, subscriptions and donations to charity aren’t going to organise themselves.

I’m sure many of us will be making our way to a Bunnings or Officeworks over the next fortnight – as shareholders of Wesfarmers Ltd (ASX: WES) are no doubt eagerly awaiting. 

But there’s another bit of financial housekeeping that we could all look at to help us during tax time, and that’s the option to top up your super.

I know, I know. No one likes super. I mean, most of us like that it’s there, but like children in days of yore, it’s often enjoyed ‘out of sight, out of mind’.

But that doesn’t stop the fact that our super needs a little maintenance from time-to-time. And we happen to be at that special time of year!

A super job before 30 June 

Not only is a superannuation fund a savings and investment fund for our retirement, but it’s also something of a legal tax haven. See, most super contributions are taxed at a flat 15% rate, as opposed to most other income which can be taxed all the way up to 47 cents to the dollar. And so if you want to top up your super in the form of adding in extra cash above your employer’s minimum 9.5% (up to $25,000 a year in most cases), it will remain taxed at 15 cents in the dollar. This has the potential to save you a substantial amount in income tax if you do it properly.

In order to claim this tax perk this financial year, you will have to top up your super before 30 June. Otherwise, it will count toward’s FY21’s cap rather than FY20’s.

So, if you want to turbocharge your super fund’s compounding returns (and the chances of living your best retirement), think about making some concessional contributions before this date. Of course, it’s always a good idea to speak with your own tax agent or financial advisor to be sure this is the right option for you.

Too many people aren’t taking full advantage of what topping up their super can do for them and I think it’s important to spread the word on how the FY20 tax time can help!

More reading

• 3 high quality dividend shares to buy instead of the big four banks
• Why I would buy Wesfarmers and these ASX dividend shares
• 2 of the best ASX dividend shares for retirees to buy today
• Got $5,000 spare? Consider Wesfarmers shares and these 2 other ASX companies
• Why ASX, Domain, Tyro, & Wesfarmers shares are dropping lower

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Wesfarmers Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why you should top up your super before June 30 appeared first on Motley Fool Australia.

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