There are ways you can add more to your super to help it grow for the future. The added benefit? Many of the ways to contribute extra could help you save on tax too.
With regular contributions, your balance could grow over time thanks to compound interest and investment returns. Learn how maximising your super can help, and which ways of adding more to super could be right for you. Select from the tabs below to learn more about before-tax, after-tax and spouse contributions.
- Before-tax contributions
- After-tax contributions
- Spouse contributions
How can before-tax contributions help?
When you contribute through salary sacrifice, you’re adding to your super before income tax is deducted from your pay1. Firstly, this reduces your taxable income, reducing the amount you have to pay income tax on. Plus, super is generally taxed at 15%. So if you pay a higher rate of tax on your income, this is another way making before-tax contributions could help you save at tax time.
Is there a limit to the contributions I can make?
The cap on before-tax contributions is currently $27,500 a year. This cap includes things like:
- salary sacrifice contributions you may make
- amounts contributed to super by your employer
- after-tax contributions you claim a tax deduction on.
You can also use the carry forward rule to take advantage of any unused portion of the cap for up to five previous financial years if your total super balance was less than $500,000 on 30 June of the previous financial year.
For example, if the contributions made by you and your employer were $2,000 under the cap this year, you’d be able to go over the cap by $2,000 during any of the next five financial years provided you continue to meet the eligibility criteria.
Simon saved on tax and saved more for his future2
Simon is a graphic designer aged 30 who earns $70,000 a year. He has a super balance of $50,000. His employer makes a Super Guarantee contribution of 10.5%. Making additional before-tax contributions could have a big impact on his retirement balance at 67.
How to start salary sacrificing to your super
Check with your employer
Check with your employer
The first step is to check with your employer if they offer salary sacrifice. If they do, it can pay to see if salary sacrificing could have any impact on your salary and benefits.
Provide your contribution details
Provide your contribution details
Use the link below to download a form which you’ll need to complete and return to your employer or payroll department.
Make a contribution today
The easiest way is through direct debit or BPAY. Log into your AustralianSuper account to get started.
contribute now-
Important information
- Before adding to your super, consider your financial circumstances, contribution caps that may apply, and tax issues. Salary sacrifice may affect some Government benefits and employee benefits. Consider getting financial advice before deciding what’s right for you.
- Calculations correct as at 3 September 2022. Salary assumed to increase at 3.5% pa. Additional voluntary contributions assumed to increase at 3.5% pa, in line with wage growth. ATO resident tax rates 2022-2023 apply. Tax saving does not include LMITO and family tax benefits. Assumes member does not take any career breaks from current age to retirement. Assumes AustralianSuper administration fee deducted from account balances of $52 pa plus 0.10% pa of your account balance up to a maximum of $350 pa. Assumes AustralianSuper nominal insurance premium of $500 pa. Assumes member will receive a tax benefit of 15% on any administration fees and any insurance fees deducted directly from the account. Investment returns projected over the working lifetime are 6.5%, net of fees and applicable taxes. SG contributions at 10.5% initially, rising to 12% pa in line with legislated increases. Results are expressed in today’s dollars by discounting at wage inflation of 3.5%. Super balance figures rounded to the nearest $10,000 and tax savings figures rounded to the nearest $1.
- Calculations correct as at 3 September 2022. Spouse contributions are nominal amounts and not assumed to increase in line with wage growth. Receiving spouse is ineligible to claim government co-contribution from spouse contribution. Salary assumed to increase at 3.5% pa. Spouse contributions are nominal. ATO resident tax rates 2022-2023 apply. Tax saving does not include LMITO and family tax benefits. Assumes receiving spouse member does not take any additional career break upon return to work until retirement. Assumes AustralianSuper administration fee deducted from account balances of $52 pa plus 0.10% pa of your account balance up to a maximum of $350 pa. Assumes AustralianSuper nominal insurance premium of $500 pa. Assumes member will receive a tax benefit of 15% on any administration fees and any insurance fees deducted directly from the account. Investment returns projected over the working lifetime are 6.5%, net of fees and applicable taxes. SG contributions at 10.5% initially, rising to 12% pa in line with legislated increases. Results are expressed in today’s dollars by discounting at wage inflation of 3.5%. Super balance figures rounded to the nearest $1,000 and tax savings figures rounded to the nearest $1.