Superannuation guarantee contributions
Superannuation guarantee contributions from your employer can help build your retirement nest egg.
How does it work?
From 1 July 2024, employers are generally required to contribute 11.5% of their employees’ ordinary time earnings into super. These are known as superannuation guarantee (SG) contributions.
SG contributions are employer contributions. These contributions are generally taxed at up to 15%1 in the fund and count towards your concessional contribution cap.
The 11.5% is legislated to increase by 0.5% each financial year until it reaches 12% from 1 July 2025.
Is SG enough?
SG contributions can grow, along with earnings, to a sizeable sum of money over time. But you may still need more to achieve the lifestyle you want in retirement. To see whether you’re on track to funding your desired lifestyle, use our Retirement forecaster.
Important things to consider
- SG contributions count, along with certain other amounts, towards your concessional contribution cap and penalties may apply if the cap is exceeded.
- If you want to make additional pre-tax super contributions, consider salary sacrifice or personal deductible contributions.
- You may also want to make post-tax (or after tax contributions), known as non-concessional contributions to boost your retirement savings. These contributions count towards your non-concessional contribution cap and penalties may apply if the cap is exceeded.
- Before making any contribution to superannuation, ensure you are eligible.
- You can’t access your super until you meet a condition of release such as reaching your preservation age and retiring.
1 Individuals with income from certain sources above $250,000 in 2024/25 will pay an additional 15% tax on superannuation guarantee and other concessional super contributions within your concessional contribution cap.
What next?
Find out more about Super and retirement rules.
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.
Call us on 1300 55 7586 opens in new window|tel: 1300557586 Monday to Friday 8am-7pm AEST (8pm daylight savings time).
Request a call back opens in new window and we’ll be in touch.
