Government Co-contribution

The Super Co-contribution is a way for the Commonwealth government to help you save for your retirement. Here’s how it works:

  • You make a personal after-tax contribution (known as a non-concessional contribution) to your super
  • If you’re eligible for the Super Co-contribution, the Commonwealth government could make an extra super payment up to 50% of the value of your contribution - this is known as a co-contribution

The matching rate changes according to government policy. For the 2018/19 financial year, the matching rate is 50% up to a maximum co-contribution of $500.

Calculate how much you could get

The amount you could get depends on your income - the government sets a lower and higher income threshold. This means:

  • If you’re eligible, and your total income is equal to or less than the lower income threshold, you’ll receive the maximum Super Co-contribution of 50 cents for every dollar of your after-tax contribution, to a maximum of $500
  • If your total income is between the lower ($37,697) and higher ($52,697) thresholds, your maximum co-contribution goes down by 3.333 cents for every dollar that your total income is over $37,697
  • If your total income is equal to or greater than the higher income threshold ($52,697), you are not eligible for a Super Co-contribution.

Calculate your co-contribution

Co-contribution matching rates and thresholds for 2017/18 and 2018/19

Year of scheme

2017/18

2018/19

Maximum co-contribution $500  $500
Member contribution $1,000 $1,000
Matching rate 50% 50%
Lower income threshold 1 $36,813 $37,697
Higher income threshold 2 $51,813 $52,697

To work out how much you could be entitled to, try our Super Co-contribution calculator.

Find out if you’re eligible

You're eligible for a co-contribution payment if you:

  • Have made one or more personal after-tax contributions to your complying super fund (such as GESB Super or West State Super) in the financial year
  • Have a total income of less than the higher income threshold for that financial year
  • Lodge an income tax return with the Australian Taxation Office (ATO) for that financial year
  • Have a total superannuation balance less than $1.6 million for the 2018/19 financial year
  • Have not contributed more than your non-concessional contributions cap
  • Are less than 71 years of age at the end of that financial year
  • Receive at least 10% of your total income from eligible employment-related activities, or from carrying on a business, or a combination of both
  • Do not hold an ‘eligible temporary resident visa’ at any time during that financial year, unless you are a New Zealand citizen or hold a prescribed visa

You don’t need to apply

We report contribution details to the Australian Taxation Office (ATO) by 31 October each year. The ATO uses this information, together with your tax return, to determine whether you’re eligible, and the Super Co-contribution amount.

If you’re eligible, the Super Co-contribution will be paid straight into your super account. You don’t need to apply for it.

You’ll receive a letter from the ATO with details about your Super Co-contribution amount after it has been deposited into your super account.

Important things to know

The Super Co-contribution is:

  • Not subject to tax when it’s paid into your super account
  • Not included as income in your tax return
  • Preserved in your super account and can only be accessed when the rest of your super can be accessed - that is, when a condition of release has been met, e.g. you reach your Commonwealth preservation age and decide to retire.

Any investment earnings on your Super Co-contribution will be taxed in the same way as any other earnings in your super account.

How to make a personal contribution

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

How to make a personal after-tax contribution

1 The lower income threshold is indexed annually.
2 The higher income threshold is set at $15,000 above the lower income threshold.
3 ® Registered to BPAY Pty Ltd ABN 69 079 137 518

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Page last updated 13 November 2018