Making Superannuation Contributions

By making additional super contributions, you can help boost your superannuation balance prior to retirement while at the same time potentially lowering your marginal tax rate. You can choose whether you want to make concessional or non-concessional contributions, or even a combination of both.

How do I maximise my Super balance to plan for a better retirement?

Maximising your superannuation balance can be done using two types of contributions. Both of these contribution types have different caps and rulings. There are annual caps (limits) on the amount of concessional and non-concessional contributions you can make. If you exceed these limits, you’ll be liable to pay extra tax.

Concessional super contributions

Concessional contributions are made from before-tax income and are taxed at 15% in your super fund. They are currently capped at $25,000 per year, unless you are eligible to use the Carry-Forward Rule.  The following are types of concessional contributions:

  • Compulsory employer superannuation guarantee contributions
  • Salary sacrifice arrangements
  • Any personal super contributions that you claim as a tax deduction

Non-concessional super contributions

There are two main types of non-concessional (after-tax) contributions – Personal contributions (you make as a superfund member and don’t claim as a tax deduction in your income tax return) and Spouse contributions that are made directly into your spouse’s super account.

They are currently capped at $100,000 per year, unless you are eligible to use the Bring-Forward Rule. The following are types of non-concessional contributions:

  • Voluntary additional payments made from your take-home pay
  • A contribution made on behalf of your spouse (married or de facto)


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General advice warning

Pacific Wealth Solutions Pty Ltd ACN 606 717 980 is a Corporate Authorised Representative of NEO Financial Solutions Pty Ltd AFSL 385845 | ABN 64 141 607 098. The advice contained within this document does not consider any person’s particular objectives, needs or financial situation. Before making a decision regarding the acquisition or disposal of a Financial Product, persons should assess whether the advice is appropriate to their objectives, needs or financial situation. Persons may wish to make their assessment themselves or seek the help of an adviser. No responsibility is taken for persons acting on the information within this document. Persons doing so, do so at their own risk. Before acquiring a financial product, a person should obtain a Product Disclosure Statement (PDS) relation to that product and consider the contents of the PDS before making a decision about whether to acquire the product.