If you hold or have held a job, you may have received the superannuation guarantee from your employer.
From 1 July 2024, the superannuation guarantee (SG) contribution has increased to 11.5%. This will further increase from 1 July 2025 to 12%.
You can also top up your SG contributions to help fund your retirement. It might seem like a long way off, but it’s never too early (or late) to start planning.
If you’re looking at ways you can contribute to your super, here are some options to consider:
Contributions from your take-home pay
You can give your super a top-up by making voluntary contributions from your savings, also known as personal super contributions.
You may be eligible to treat some or all of your personal super contributions as concessional contributions and claim a tax deduction for them. Visit the ATO to learn more. From 1 July 2024, the annual concessional contributions cap is $30,000.
If you do not receive a tax deduction on your personal super contributions, they are treated as non-concessional contributions. However, once money is in your super, any investment earnings are generally only taxed at 15%.
From 1 July 2024, the non-concessional contributions cap (contributions you make from your take home pay) is $120,000 p.a. Members under 65 years of age may be able to make non-concessional contributions of up to three times the annual non-concessional contributions cap in a single year.
Contributions from your pre-tax salary (also known as salary sacrificing)
You can voluntarily contribute extra amounts from your before-tax income to your superannuation (known as ‘salary sacrificing’).
Salary sacrificing can help grow your super at an accelerated rate. When you salary sacrifice, you generally only pay 15 per cent tax on these contributions – instead of your marginal tax rate (plus Medicare levy and other applicable levies).
Be aware, from 1 July 2024 there’s a limit of $30,000 that you can contribute to super from your before-tax income in any one year (inclusive of your employer contributions).
For more information on how you can salary sacrifice, speak to your employer who can arrange this for you, or visit the ATO website for more information.
Spouse contributions
Your spouse (married or de-facto) may be able to make contributions to your super on your behalf. This may ensure your super balance can still grow if you’re earning below $40,000 per annum, or while you’re not working for extended periods of time. You may also be eligible for a tax offset of up to $540. Check with the ATO for more details about super-related tax offsets.
Co-contributions
Super co-contributions help eligible people boost their retirement savings. If you're a low or middle-income earner and make personal (after-tax) contributions to your super fund, the government may also make a contribution (called a co-contribution) up to a maximum amount of $500 per annum. The amount of government co-contributions you receive depends on your income and how much you contribute.
Get your super together
Many people hold more than one super account. By consolidating them into one account, you may potentially save on fees and reduce any overlap in insurance coverage and premiums you have.
Consolidating your super is simple and can be done online through myGov.
Before making a decision, you may want to compare the costs, fees, risks and benefits of your other super funds against your preferred fund. You may also want to consider whether you can replace any insurance cover you may lose upon rolling over, potential withdrawal fees, as well as any investment or tax implications.
If you’re interested in any of these contribution options and you’re not sure where to start, contact your superannuation provider or speak to a financial planner.
If you hold or have held a job, you may have received the superannuation guarantee from your employer.
From 1 July 2024, the superannuation guarantee (SG) contribution has increased to 11.5%. This will further increase from 1 July 2025 to 12%.
You can also top up your SG contributions to help fund your retirement. It might seem like a long way off, but it’s never too early (or late) to start planning.
If you’re looking at ways you can contribute to your super, here are some options to consider:
Contributions from your take-home pay
You can give your super a top-up by making voluntary contributions from your savings, also known as personal super contributions.
You may be eligible to treat some or all of your personal super contributions as concessional contributions and claim a tax deduction for them. Visit the ATO to learn more. From 1 July 2024, the annual concessional contributions cap is $30,000.
If you do not receive a tax deduction on your personal super contributions, they are treated as non-concessional contributions. However, once money is in your super, any investment earnings are generally only taxed at 15%.
From 1 July 2024, the non-concessional contributions cap (contributions you make from your take home pay) is $120,000 p.a. Members under 65 years of age may be able to make non-concessional contributions of up to three times the annual non-concessional contributions cap in a single year.
Contributions from your pre-tax salary (also known as salary sacrificing)
You can voluntarily contribute extra amounts from your before-tax income to your superannuation (known as ‘salary sacrificing’).
Salary sacrificing can help grow your super at an accelerated rate. When you salary sacrifice, you generally only pay 15 per cent tax on these contributions – instead of your marginal tax rate (plus Medicare levy and other applicable levies).
Be aware, from 1 July 2024 there’s a limit of $30,000 that you can contribute to super from your before-tax income in any one year (inclusive of your employer contributions).
For more information on how you can salary sacrifice, speak to your employer who can arrange this for you, or visit the ATO website for more information.
Spouse contributions
Your spouse (married or de-facto) may be able to make contributions to your super on your behalf. This may ensure your super balance can still grow if you’re earning below $40,000 per annum, or while you’re not working for extended periods of time. You may also be eligible for a tax offset of up to $540. Check with the ATO for more details about super-related tax offsets.
Co-contributions
Super co-contributions help eligible people boost their retirement savings. If you're a low or middle-income earner and make personal (after-tax) contributions to your super fund, the government may also make a contribution (called a co-contribution) up to a maximum amount of $500 per annum. The amount of government co-contributions you receive depends on your income and how much you contribute.
Get your super together
Many people hold more than one super account. By consolidating them into one account, you may potentially save on fees and reduce any overlap in insurance coverage and premiums you have.
Consolidating your super is simple and can be done online through myGov.
Before making a decision, you may want to compare the costs, fees, risks and benefits of your other super funds against your preferred fund. You may also want to consider whether you can replace any insurance cover you may lose upon rolling over, potential withdrawal fees, as well as any investment or tax implications.
If you’re interested in any of these contribution options and you’re not sure where to start, contact your superannuation provider or speak to a financial planner.