Supercharged savings: your super contribution options for the 2025-26 financial year
As of the 2025-26 financial year (1 July 2025 to 30 June 2026). Figures below are accurate at the time of publication and drawn from the ATO's published contribution caps.
If you're only relying on your employer's compulsory super contributions, you're leaving money (and tax savings) on the table. Whether you're doing this solo or coordinating with a partner, a few smart extra contributions each year can make a real difference to your retirement balance, and to your tax bill right now. Here's what's changed for 2025-26 and how to make the most of it.
Why bother boosting your super?
More money for retirement. Every extra dollar you put in now has years (or decades) to grow before you need it.
A cheaper way to cover insurance premiums. Paying for life insurance through your super shifts the cost out of your day-to-day bank account, so your take-home pay isn't the one taking the hit.
Lower tax now, bigger balance later. Contributing through salary sacrifice or personal deductible contributions reduces your taxable income while it grows your super. It's one of the few genuine "win-win" moves in personal finance.
What's changed for 2025-26?
Two things are different from last financial year, and both work in your favour if your super balance is on the higher side:
The Super Guarantee (SG) rate has increased to 12%, up from 11.5% in 2024-25. This is the minimum percentage of your ordinary earnings your employer must pay into your super. It also eats into your concessional cap (more on that below), so if you're planning extra salary sacrifice contributions, check how much room you've actually got left.
The general transfer balance cap has increased to $2 million, up from $1.9 million. This matters because it sets the total super balance (TSB, meaning the total value of all your super accounts combined) thresholds for who can make extra after-tax contributions, and how much. If your balance sat just above $1.9 million last year and locked you out, you may now be back in the game.
So what does that mean for you? If you've got a higher super balance and were told in 2024-25 that you couldn't make extra contributions, it's worth checking again this year. The goalposts have moved.
What types of super contributions can you make in 2025-26?
Salary sacrifice: how much can I contribute?
Salary sacrifice is an arrangement with your employer to redirect part of your pre-tax salary straight into your super, before income tax is calculated. This is a concessional contribution, meaning it's taxed at 15% inside your fund rather than at your marginal tax rate.
The concessional contributions cap for 2025-26 is $30,000, unchanged from 2024-25. This cap covers everything: your employer's compulsory SG contributions, any salary sacrifice, and any personal contributions you claim as a tax deduction, all added together.
So what does that mean for you? With the SG rate now at 12%, more of your $30,000 cap is being used up by compulsory employer contributions before you even start salary sacrificing. Someone on $100,000 a year now has roughly $12,000 of SG eating into that cap, leaving about $18,000 of room, so it's worth recalculating before setting a salary sacrifice amount.
Personal deductible contributions: can I claim a tax deduction?
If you're self-employed, between jobs, or just prefer to contribute in a lump sum rather than through payroll, you can make a personal contribution from your after-tax income and then claim it as a tax deduction. It still counts toward the same $30,000 concessional cap above.
If your total super balance was under $500,000 at 30 June 2025, you may be able to use carry-forward contributions, meaning any unused portion of your concessional cap from the past five financial years can be added on top of this year's $30,000. This can let high-income earners or people returning from a career break make a much larger deductible contribution in one hit.
So what does that mean for you? You must lodge a valid Notice of Intent to Claim with your fund before you claim the deduction, and before you draw a pension, roll over, or withdraw the money. Miss this step and the ATO can knock back the deduction entirely. Read the full breakdown here.
Personal non-deductible contributions: what's the non-concessional cap for 2025-26?
These are contributions from your after-tax money where you don't claim a deduction. Because you've already paid income tax on the money, they're not taxed again on the way into your fund. They're called non-concessional contributions.
The non-concessional cap for 2025-26 is $120,000, unchanged from last year. But your total super balance now decides how much of that you can actually use:
The "bring-forward" option lets you access up to three years' worth of the annual cap in a single year, useful if you've had a windfall like an inheritance, bonus, or property sale.
So what does that mean for you? If your balance was sitting just under $1.9 million last year, you had a nil cap. This year, with the threshold at $2 million, you might have room again. It's worth checking your balance before assuming last year's answer still applies.
Spouse contributions: how does the tax offset work?
If your partner earns under $37,000 a year, you can contribute up to $3,000 into their super and claim a tax offset of up to $540 for yourself. The offset reduces gradually and cuts out entirely once their income hits $40,000. Your spouse's total super balance also needs to be under $2 million at 30 June 2025 for you to be eligible.
So what does that mean for you? This is one of the few super strategies that benefits two people from one contribution: your spouse's balance grows, and you get a tax offset. Just don't assume it applies if your partner is a higher earner or already has a large balance.
Common questions about super contributions in 2025-26
Has the concessional contributions cap changed for 2025-26?
No. It's held steady at $30,000, the same as 2024-25.
Has the non-concessional contributions cap changed for 2025-26?
The annual cap itself is still $120,000. What's changed is the total super balance thresholds that decide how much of it (if any) you can access, because the general transfer balance cap rose to $2 million.
Do I need to submit anything to claim a tax deduction on personal contributions?
Yes. You need a valid Notice of Intent to Claim lodged with your super fund before you lodge your tax return, claim the deduction, or touch the money. Here's how that works.
What happens if I go over my contribution cap?
Excess contributions can trigger additional tax, so it's worth checking your year-to-date contributions (including employer SG) before making a lump sum top-up. This is a conversation worth having with your adviser or accountant before you contribute, not after.
Can I use both salary sacrifice and personal deductible contributions in the same year?
Yes, but they share the same $30,000 concessional cap between them, so you need to track both together rather than treating them as separate allowances.
Getting it right for your situation
Contribution caps and thresholds move most years, and this year's changes (the SG rate rise and the higher transfer balance cap) show how much a small shift can open up or shut down your options. What worked for your super strategy in 2024-25 might not be the best move for 2025-26, particularly if your balance is anywhere near those threshold figures.
This is general information only. It doesn't take into account your personal circumstances, and you should consider getting advice tailored to your situation before making extra contributions. For the latest official figures, the ATO's contribution caps page is the source of truth.
Paying for your life insurance through super? Extra contributions and cap changes are a good prompt to check your cover still fits how your super is set up. Book a 15-minute call and we'll review how your policy is structured.
Sources:
Australian Taxation Office – Contribution Caps
Australian Taxation Office – Non-concessional contributions cap
Australian Taxation Office – Concessional contributions cap