If you qualify for the Commonwealth Government Co-contribution it could help grow your super even faster.
The co-contribution scheme rewards you for personally contributing to your super after tax by offering to match a percentage of your contribution.
If your total income is less than $56,112 in the 2021/22 financial year and you make after-tax contributions to your super in the same year, the Commonwealth Government will contribute up to $0.50 for every $1.00 you contribute, to a maximum of $500.
To be eligible for a co-contribution you must:
- have made one or more eligible personal super contributions to your super account during the financial yea
- pass the two income tests (income threshold and 10% eligible income tests)
- be less than 71 years old at the end of the financial year
- not hold a temporary visa at any time during the financial year (unless you are a New Zealand citizen or it was a prescribed visa)
- lodge your tax return for the relevant financial year
- have a total superannuation balance less than the general transfer balance cap at the end of 30 June of the previous financial year
- not have contributed more than your non-concessional contributions cap.
To receive the maximum co-contribution of $500 you need to contribute at least $1,000 after tax and earn less than $41,112 a year. The co-contribution you can receive reduces on a sliding scale, and phases out altogether when your income reaches $56,112.
For more information on how to make an after tax contribution visit the Ways to pay web page.
|If your after-tax super contribution is:|
|If your income is:||Your super co-contribution will be:|
|$41,112 or less||$500||$400||$250||$100|
Your co-contribution is calculated by the ATO each year based on your tax return and directly deposited into your Co-contribution Account.