Federal Budget 2024/25 and your super
17 May 2024
The Federal Budget for the 2024/25 financial year included changes to super and relief measures aimed at easing cost of living challenges.
Read below for a snapshot of the changes relating to super, including:
- Super on Australian Government-funded paid parental leave
- Freezing of social security deeming rates
These proposed changes will impact all Australians with super, including you as a GESB member.
Budget snapshot
Super on Australian Government paid parental leave
This change will enhance the Australian Government-funded Paid Parental Leave (PPL) scheme to pay super contributions on government-funded PPL for births and adoptions on or after 1 July 2025, based on the Superannuation Guarantee (SG) rate of 12%, for eligible people.
The Western Australian (WA) Government also announced in the WA State Budget that it will extend the payment of super on unpaid parental leave up to 24 weeks from 1 July 2024, for all WA public sector employees.
Freezing of social security deeming rates
To manage cost of living pressures and support Age Pensioners, the Australian Government will freeze social security deeming rates at their current levels for a further 12 months until 30 June 2025.
This will impact Retirement Income Pension members and other income support recipients who rely on income from deemed financial investments.
For full details of the 2024/25 budget, visit budget.gov.au.
Existing changes coming into effect from 1 July 2024
Tax rate cuts for individuals
Tax rates will be reduced, and thresholds changed, to help with the cost of living.
The below rates and thresholds will apply.
| Income | Tax |
|---|---|
$0 to $18,200 | No tax |
$18,201 to $45,000 | 16% tax, reduced from 19% |
$45,001 to $135,000 | 30% tax, reduced from 32.5% |
$135,000 to $190,000 | 37% tax, threshold increased from $120,000 |
$190,000 and above | 45% tax, threshold increased from $180,000 |
Superannuation Guarantee (SG) rate rise to 11.5%
The Superannuation Guarantee (SG) payment will increase, which means employees will receive more into their super accounts.
Employers will be required to make super contributions into each employee’s super account at the increased rate of 11.5% of an employee’s annual salary.
Contribution caps increase
Contribution caps will increase, meaning you may be able to add a higher amount in voluntary contributions to your super per year.
- Concessional contributions cap will increase from $27,500 per year to $30,000
- Non-concessional contributions cap will increase from $110,000 per year to $120,000. This change also affects the bring-forward rule, which will increase to up to $360,000 depending on your super balance
- Untaxed plan cap for concessional contributions made to untaxed funds such as West State Super or Gold State Super will increase from $1.705 million per year to $1.780 million
Read more about types of contributions and contributions caps.
Reminder of other key changes from previous budgets
Reduced tax concessions for individuals with more than $3 million in super
Individuals with a total super balance of over $3 million will have to pay additional 15% tax on the earnings on any amount that exceeds the threshold at the end of the financial year.
- For GESB Super members, this tax is in addition to any tax already paid on accumulation
- For West State Super and Gold State Super members, interest will be appropriately valued and will have earnings taxed under this measure in a similar way to other interests
Proposed state date: 1 July 2025
Payment of super on payday
The government will introduce legislation that means employers will be required to pay super on payday.
WA public sector employers already pay their employees’ super on payday, so this change will not impact GESB members.
Proposed start date: 1 July 2026
More information
- Read about upcoming changes so you can stay with GESB
- Learn more about the extension of super on unpaid leave for WA public sector employees
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Thank you for printing this page. Remember to come back to gesb.wa.gov.au for the latest information as our content is updated regularly. This information is correct as at 23 June 2026.