Skip to Content

Personal deductible contributions

How does it work?

If you have surplus cashflow or savings, you may want to make an after-tax super contribution and claim a tax deduction to reduce your taxable income.

May be suitable if…

You’re employed, self-employed or earn taxable income from other sources (such as investments).

  • Boost your retirement income by starting a retirement income stream.
  • Get an additional $300,000 ($600,000 for couples) into super, regardless of your work status, super balance or what you’ve already contributed under the ordinary concessional and non-concessionalcontribution caps.
  • Boost your retirement income by starting a retirement income stream.
  • Get an additional $300,000 ($600,000 for couples) into super, regardless of your work status, super balance or what you’ve already contributed under the ordinary concessional and non-concessionalcontribution caps.
  • Boost your retirement income by starting a retirement income stream.
  • What are the benefits?

    • Grow your super.
    • Pay less tax: the contributions are generally taxed at up to 15%¹, instead of your marginal tax rate up to a maximum of 47%².
  • Boost your retirement income by starting a retirement income stream.
  • Get an additional $300,000 ($600,000 for couples) into super, regardless of your work status, super balance or what you’ve already contributed under the ordinary concessional and non-concessionalcontribution caps.
  • Boost your retirement income by starting a retirement income stream.
  • Grow your super.
  • Pay less tax: the contributions are generally taxed at up to 15%¹, instead of your marginal tax rate up to a maximum of 47%².
  • Case study

    Important things to consider

    • To make personal deductible contributions you must be eligible to contribute to super.
    • Personal deductible contributions count towards your concessional contributions cap and penalties may apply if the cap is exceeded.
    • To claim the super contribution as a tax deduction, you need to submit a valid Notice of Intent form with your super fund, and receive an acknowledgement from them, before you complete your tax return, start a retirement income stream or withdraw or rollover the money.
    • If you’re an employee, another way to boost your super tax-effectively is to make salary sacrifice contributions.
    • You can’t access your super until you meet a condition of release such as reaching preservation age and retiring.
    • Other eligibility conditions apply – see the Australian Tax Office (ATO) website for more information.

    1. Individuals with income from certain sources above $250,000 in 2021/22 will pay an additional 15% tax on personal deductible and other concessional super contributions within the cap.

    2. Includes Medicare levy.

    icn-puzzle-md

    Related content

    How can I grow my super.

    icn-chat-md

    Got a question?

    Get set in the right direction with help and guidance available over the phone, online or face-to-face.

    General advice and information only

    Any advice and information on this website is general only, and has been prepared without taking into account your particular circumstances and needs. Before acting on any advice on this website you should assess or seek advice on whether it is appropriate for your needs, financial situation and investment objectives.

    Tax disclaimer

    Any general tax information on this website is intended as a guide only and is based on our general understanding of taxation laws. It is not intended to be a substitute for specialised taxation advice or an assessment of your liabilities, obligations or claim entitlements that arise, or could arise, under taxation law, and we recommend you consult with a registered tax agent.