After-tax personal contributions

You can make after-tax personal contributions by adding to your super from your take-home salary, or from lump-sum amounts such as inheritance, lottery winnings or money from selling an asset.

Grow your super with your own after-tax contributions

Making an after-tax contribution to your super could help you:

  • Increase your super balance - rather than relying on the amount your employer contributes, adding to your balance can lead to more money in your super when you retire, depending on market changes, which can impact your balance before and at retirement
  • Be eligible for the Commonwealth Government Super Co-contribution - there are other criteria to meet to be eligible, but one of them is that you need to make an after-tax contribution to your super
  • Pay less tax on what your super investments earn - the investment earnings on some investments may be taxed up to 49%, while earnings on GESB Super are only taxed at 15% (as West State Super and Gold State Super are untaxed funds, tax only applies when you access your benefit)
  • Add to your super after you have reached your concessional contributions cap - if you’ve already reached your concessional contributions cap for your super contributions, you can still grow your super. You have the option to make after-tax contributions up to the higher non-concessional contributions cap

Find out how much you can contribute

Non-concessional or after-tax contributions are contributions usually made after income tax has already been deducted. Generally, you won’t need to pay any more tax on these amounts if you’re below your non-concessional contributions cap.

For the 2019/20 financial year the following cap applies:

Non-concessional contributions cap for 2019/20
Non-concessional contributions cap Special arrangement
$100,000 p.a.1

If aged under 65, you can bring forward one or two years of contributions depending on your total super balance on 30 June of the previous financial year. If your total super balance is less then $1.4 million, you can bring forward two years of contributions i.e. $100,000 plus $200,000, giving you a cap of $300,000 over three years2.

The amount available under the bring-forward rule depends on your total super balance as at 30 June in the previous financial year.

How to make a personal contribution

There are several ways you can make an after-tax contribution. You can:

1 For the 2019/20 financial year, indexed annually. This cap is equal to four times the general concessional contributions cap (which is currently $25,000).
2 The amount available under the bring-forward rule depends on your total super balance as at 30 June in the previous financial year. For mor information please read the Contributing to your super brochure.
3 This cap will be indexed annually against Consumer Price Index (CPI), rounded down to the nearest $100,000.
4 If you have a total superannuation balance greater than or equal to $1.6 million for the 2019/20 financial year your non-concessional contribution cap will be nil. In this case, if you make a non-concessional contribution they will be excess contributions and will be taxed at 47%.
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Page last updated 01 July 2019