Super Rates & Thresholds

FUND DETAILS     USI: NES0100AU     ABN: 72 229 227 691     ADDITIONAL INFORMATION

This page contains a summary of super rates and thresholds that may apply to you, including relevant tax and super guarantee (SG) contribution rates, contribution caps or other tax information relating to your super. For more details, please refer to the Australian Taxation Office ATO website (ato.gov.au/super).

Super Guarantee (SG) Rate

The SG rate is the compulsory minimum amount employers must contribute to employees.

Financial year

July 2014-June 2021
2021-22
2022-23
2023-24
2024-25
From 1 July 2025

SG rate

9.50%
10.00%
10.50%
11.00%
11.50%
12.00%

You must pay super guarantee on payments you make to an employee under 18 years old if they work for you for more than 30 hours in a week, regardless of how much you pay them.

There is no maximum age for employees to be eligible for SG contributions.

Maximum super contribution base

Employers are only required to pay SG contributions up to the maximum super contribution base. If an individual earns above the base, employers are not required to pay SG contributions on earnings over the base. The maximum super contribution base is indexed each year in line with average weekly ordinary time earnings (AWOTE).

Financial year

2024-25
2023-24
2022-23
2021-22
2020-21
2019-20
2018-19
2017-18

Maximum contribution base per quarter (quarterly earnings)

$65,070
$62,270
$60,220
$58,920
$57,090
$55,270
$54,030
$52,760

Government Super co-contributions

Co-contributions

The co-contribution is a government measure to boost super savings. The super co-contribution is designed to assist eligible individuals to save for their retirement. If you are eligible and make personal super contributions during a financial year, the government will pay a super co-contribution up to certain limits.

Eligibility

To be eligible for the co-contribution:

  • You must have made a personal non-concessional contribution during the financial year
  • your total income (which is the total of your assessable income plus reportable fringe benefits total plus reportable employer super contributions reduced (but not below zero) by any excess concessional contributions, less your assessable first home super saver released amount (if any) and less an allowable business deductions (relevant to businesses only))
  • 10% or more of your total income is from employment-related activities or running a business or a combination of both
  • you must be less than 71 years old at the end of the financial year
  • you do 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 under the Superannuation (Unclaimed Money and Lost Members) Act 1999.
  • You must lodge an income tax return for the relevant financial year.
  • your total superannuation balance must be less than the general transfer balance cap at the end of 30 June of the previous financial year.
  • you must not have contributed more than your non-concessional contributions cap for the relevant financial year.

Super co-contribution income thresholds

The lower income threshold is indexed in line with AWOTE each income year.

If your total income is equal to or less than the lower threshold and you make personal non-concessional contributions of $1,000 to your super account, you will receive the maximum co-contribution of $500.

You won’t receive any co-contribution if your income is equal to or greater than the higher threshold.

If your total income is between the two thresholds, your maximum entitlement will reduce progressively as your income rises. If your co-contribution is less than $20, we will pay the minimum amount of $20.

The lower and higher income thresholds for each financial year are shown in the table below.

    Financial year

    2024-25
    2023-24
    2022-23
    2021-22
    2020-21
    2019-20
    2018-19
    2017-18

    Matching rate

    50%
    50%
    50%
    50%
    50%
    50%
    50%
    50%

    Maximum entitlement

    $500
    $500
    $500
    $500
    $500
    $500
    $500
    $500

    Lower income threshold

    $45,400
    $43,445
    $42,016
    $41,112
    $39,837
    $38,564
    $37,697
    $36,813

    Higher income threshold

    $60,400
    $58,445
    $57,016
    $56,112
    $54,837
    $53,564
    $52,697
    $51,813

    Low income super tax offset

    The low income super tax offset (LISTO) payment helps low-income earners boost their retirement savings.

    If you earn up to $37,000 a year, you may be eligible to receive a LISTO payment of up to $500.

    You don’t need to do anything to receive a LISTO payment. Just make sure your super fund has your tax file number (TFN). Without your TFN, your super fund can’t accept a LISTO payment.

    The LISTO is 15% of the concessional (before tax) super contributions you or your employer pays into your super fund up to a maximum of $500. This is designed to ensure that low-income earners generally don’t pay more tax on their super contributions than on their take-home pay.

    Eligibility

    You’re eligible for the LISTO if you satisfy all of the following requirements:

    • you or your employer pay concessional (before tax) contributions (including super guarantee amounts) for the year to a complying super fund
    • you earn $37,000 or less a year – to work out your eligibility, we use your actual or estimated adjusted taxable income)
    • you have not held a temporary resident visa at any time during the income year (note that New Zealand citizens in Australia are eligible for the payment)
    • you lodge a tax return and 10% or more of your total income comes from business and/or employment, or you don’t lodge a tax return and 10% or more of your total income comes from your employment.

    Preservation of super

    You can access your super when you retire or meet certain conditions of release. Generally, super benefits must be preserved, meaning your super money cannot be accessed until you meet a condition of release.

    Conditions of release

    The following are conditions of release for when benefits can be paid:

    • has reached their preservation age and retires
    • has reached their preservation age and begins a transition-to-retirement income stream
    • ceases an employment arrangement on or after the age of 60
    • is 65 years of age (even if they haven’t retired)
    • has died

    In special circumstances at least part of a member’s super benefits can be released before the member has reached preservation age.

    Special conditions of release include:

    • Terminating gainful employment
    • Permanent incapacity
    • Temporary incapacity
    • Severe financial hardship
    • Compassionate grounds
    • Terminal medical condition
    • First home super saver scheme.

    Preservation Age

    Date of birth

    Before 1 July 1960
    1 July 1960 – 30 June 1961
    1 July 1961 – 30 June 1962
    1 July 1962 – 30 June 1963
    1 July 1963 – 30 June 1964
    From 1 July 1964

    Preservation age

    55
    56
    57
    58
    59
    60

    Concessional (before-tax) contribution caps

    Concessional contributions are contributions made to your super account from your earnings before tax is deducted. These include the SG contribution, a personal contribution claimed as a tax deduction, any other employer contributions above the SG, and voluntary salary sacrifice contributions. There is a limit on the amount of contributions that will be given a tax concession – this is called the concessional contribution cap. If you have more than one super fund, all concessional contributions made to all your funds in the particular financial year are added together and counted towards the cap.

    Financial year

    2024-25
    2023-24
    2022-23
    2021-22
    2020-21
    2019-20
    2018-19
    2017-18

    General cap

    $30,000
    $27,500
    $27,500
    $27,500
    $25,000
    $25,000
    $25,000
    $25,000

    The concessional contributions cap (the general cap as shown in the table above) is indexed annually in line with average weekly ordinary time earnings (AWOTE). Indexation does not increase the cap in some years as increases are rounded down to the nearest multiple of $2,500.

    Unused concessional contributions cap carry forward

    From 1 July 2018, any unused portion of the concessional cap can be used to add contributions above the cap in subsequent years, on a rolling basis for a period of up to 5 years (2019-20 is the first financial year that unused concessional contributions can be accessed). To access this provision individuals must have a total superannuation balance of less than $500,000 on 30 June of the previous financial year.

    Excess concessional contribution

    If you go over the concessional contribution cap, you will pay extra tax on the excess contributions (at your marginal tax rate, less 15% tax already paid). If you leave the excess concessional contributions in super, the excess amount will be counted as non-concessional contributions. You also have the option of withdrawing the excess amount out of your account. The ATO will send you information on your options when a breach of this cap occurs.

    An Excess Concessional Contribution (ECC) charge applies to contributions that exceed the concessional contribution cap from 2013-14 to 2020-21. The ECC charge has been removed from 1 July 2021.

    Non-concessional (after-tax) contribution caps

    Non-concessional contributions (NCC) are generally the after-tax contributions you make to a super fund. They include personal contributions you make from your after-tax pay, spouse contributions and any concessional contribution that exceeds the concessional contributions cap. If you have more than one super fund, all non-concessional contributions made to all your funds are added together and counted towards the cap.

    Financial year

    2024-25
    2023-24
    2022-23
    2021-22
    2017-18 to 2020-21

    Cap

    $120,000
    $110,000
    $110,000
    $110,000
    $100,000

    From 1 July 2017, your ncc cap is nil for a financial year if, at the end of the previous financial year, you have a total superannuation balance greater than or equal to the general transfer balance cap. In this case, if you make non-concessional contributions in that year, they will be excess non-concessional contributions.

    The increase to the non-conessional cap will also affect the three year bring foward limits, which will increase from $330,000 to $360,000.

    Bring-forward arrangement

    Your NCC cap can be changed if you’re eligible for the bring-forward arrangement.

    This allows you to bring forward the equivalent of 1 or 2 years of your annual cap from future years. This means you can make contributions up to 2 or 3 times the annual cap amount in the first year of the bring-forward period. Any amount of the bring-forward cap that’s unused in the first year can be used in the remaining 1 or 2 years.

    Eligibility for the bring-forward arrangement depends on your age and your total super balance. Apart from these criteria, there are age-related and other restrictions on the types of non-concessional contributions your fund may be able to accept.

    Age eligibility

    For the 2022–23 and later financial years

    • If you’re under 75 years of age at any time in a financial year, you’re eligible to use the bring-forward arrangement in that financial year, subject to the age-related and other restrictions on the types of non-concessional contributions your fund may be able to accept.
    • If you’re 75 years or older at any time in a financial year, you’re not eligible to use the bring-forward arrangement in that financial year.

    For the 2020-21 and 2021-22 financial years

    • If you were under 67 years of age at any time in a financial year, you were eligible to use the bring-forward arrangement in that financial year.
    • If you were 67 years or older at any time in a financial year, you were not eligible to access the bring-forward arrangement in that financial year.

    For the 2008–09 to 2019–20 financial years

    • If you were under 65 years of age at any time in a financial year, you were eligible to use the bring-forward arrangement in that financial year.
    • If you are 65 years or older at any time in a financial year, you were not eligible to use the bring-forward arrangement in that financial year.

     Total super balance

    The amount of the non-concessional contributions cap you can bring forward depends on your total super balance (TSB):

      • If your TSB on 30 June of the previous financial year was less than $1.68 million – you can contribute 3 times the annual non-concessional contributions cap over 3 years (that is, $330,000). That is, in the 2023–24 financial year, if your TSB on 30 June 2023 was less than $1.68 million, you can contribute 3 times the annual non-concessional contributions cap over 3 years (that is, $330,000).
      • If your TSB on 30 June of the previous financial year was $1.68 million or above but less than $1.79 million – you can contribute 2 times the annual cap over 2 years (that is, $220,000).
      • If your TSB on 30 June of the previous financial year was $1.79 million or above – you can’t bring forward any amount, but you can make a current year contribution of up to $110,000.

      These limits are based on the non-concessional contributions cap being $120,000 for the 2024/25 financal year and the general transfer balance cap being $1.9 million.

      Once you trigger the bring-forward arrangement:

      • any change to the non-concessional contributions cap for the bring-forward period doesn’t apply to you. The bring-forward cap amount is based on the cap in the first year of the period.
      • your non-concessional contributions over the next 1 or 2 years cannot be more than the sum of your increased bring-forward non-concessional contributions cap amount minus the non-concessional contributions made in the year the bring-forward was triggered.

      Transfer balance cap

      The transfer balance cap applies from 1 July 2017. It is a limit on the total amount of superannuation that can be transferred into the retirement phase. All your super account balances (regardless of how many you have) will be included to calculate this amount.

      You can make transfers into the retirement phase if you remain below the transfer balance cap.

      Financial year

      2024-25
      2023-24
      2021-22 to 2022-23
      2017-18 to 2020-21

      General Transfer Balance Cap

      $1,900,000
      $1,900,000
      $1,700,000
      $1,600,000

      Minimum & maximum annual payments for income streams (NESS Pension)

      Minimum annual payments

      Once your NESS Pension commences a minimum income amount is required to be paid to you each financial year. The following table shows the minimum percentage factor applicable to NESS Pension for each age group.

      Age

      Under 65
      65-74
      75-79
      80-84
      85-89
      90-94
      95 or more

      2019–20 to 2022-23 financial years (inclusive)

      2%
      2.5%
      3%
      3.5%
      4.5%
      5.5%
      7%

      2013–14 to 2018-19 AND From 2023-24 financial years (inclusive)

      4%
      5%
      6%
      7%
      9%
      11%
      14%

      Maximum annual payments

      A maximum of 10% of the account balance at the start of the financial year or the start of the income stream applies to transition to retirement pensions.

      There is no maximum for account-based pensions.

      Tax

      Generally, tax in super is applied to:

      • contributions (when contributions are made into your super account)
      • earnings (on the investments in super and transition to retirement pension)
      • withdrawals.

      Tax File Number (TFN)

      Super funds are authorised to collect, use and disclose your tax file number.

      Your employer must provide your super fund your TFN if they have it.

      The trustee of your super fund may disclose your TFN to another super fund when your benefits are being transferred unless you request the trustee of your super fund in writing that your TFN not be disclosed to any other super fund.

      Declining to quote your TFN to your super fund is not an offence. However, giving your TFN to your super fund will have the following advantages:

      • your super fund will be able to accept all permitted types of contributions to your account(s);
      • other than the tax that may ordinarily apply, you will not pay more tax than you need to – this affects both contributions to your super and benefit payments when you start drawing down your super benefits; and
      • it will make it much easier to find different super accounts in your name so that you receive all your super benefits when you retire.

      If you choose not to supply your TFN, your concessional contributions will be taxed at 45% plus Medicare Levy of 2%. It also means that we can’t accept non-concessional contributions.

      Tax on contributions

      Concessional (before-tax) contributions are taxed in the fund at a concessional tax rate of 15%.

      For those with an income (including super contributions) of more than $250,000 per annum, contributions tax will effectively rise from 15% to 30% on some or all their super contributions.

      Any concessional contributions above the concessional contribution cap will be subject to additional tax.

      A notice of excess concessional contributions determination will be provided by the ATO, requiring you to pay the additional tax. You will have the option of either making a withdrawal from your super account to meet this payment or paying it directly to the ATO.

      Non-concessional (after-tax) contributions are generally not taxed in the fund. However, any non-concessional contributions above the cap which are left in super, will be taxed at the rate of 47% (45% plus 2% Medicare levy). You can elect to withdraw the excess contribution amount from your super account to avoid paying the excess contribution tax.

      Tax on earnings

      Investment earnings from your super fund are taxed at a rate of up to 15%. This tax is reflected in the unit price for each investment option.

      Investment earnings from your NESS Pension account-based pension are tax free (up to your transfer balance cap).

      Investment earnings applicable to Transition to Retirement accounts are subject to a tax rate of 15%.

      Tax on withdrawals

      Generally, if you take any part of your super benefit after age 60, no tax is payable.

      Prior to age 60 some tax may be payable and will be deducted from your super benefit by the fund. The tax deducted depends on the components within your account. Superannuation accounts are divided into two components for tax purposes, a tax-free component and a taxable component. The tax-free component will always be tax-free, the taxable component may attract tax depending upon your age.

      The table below shows how the different components of a super benefit are taxed.

      Tax on lump sum super payments

      Age at date of payment or type of payment

      Less than $200
      Age 60 and over
      From preservation age to 60
      Under preservation age
      Terminally ill
      Death Benefits – paid to a beneficiary who is a dependant for tax purposes
      Death Benefits – paid to a beneficiary who is a non-dependant for tax purposes

      Tax free component

      Tax free
      Tax free
      Tax free
      Tax free
      Tax-free
      Tax free
      Tax free

      Taxable Component

      Tax free
      Tax free
      • Tax free - up to the low rate cap amount
      • Taxed at 15% plus Medicare Levy over the low rate cap amount (see table below for the low rate cap amounts)
      Taxed at 20% plus Medicare Levy
      Tax-free
      Tax free
      Taxed at 15% plus Medicare Levy

      NOTE:

      If you are receiving a payment due to Total and Permanent Disability the above age-based tax rates apply, however the fund will complete a calculation to increase your tax-free component.

      Death benefits may include an untaxed component, which is taxed at 30% plus Medicare Levy when paid to a non-dependant for tax purposes.

      Tax on account based and transition to retirement income payments

      The Fund will deduct tax in a similar way to an employer and issue a Pay As You Go (PAYG) summary after 30 June each year, which forms part of your tax return.

      Example

      If you purchase your NESS Pension on 30 June 2021 with $100,000 and 80% is a taxable component and 20% is a tax-free component, then PAYG tax will apply to 80% of your pension payment. If you draw a pension of $10,000 in the financial year, $8,000 would be taxable. That tax, combined with any other income tax payable for the financial year, would be reduced by an offset of $1,200 ($8,000 x 15%).

      Pension payments

      Age at date of payment

      Age 60 and over
      From preservation age and under the age of 60
      Under preservation age

      Tax on Tax free component

      Tax free
      Tax free
      Tax free

      Tax on Taxable Component

      Tax free
      Your marginal tax rate less 15% tax offset
      Your marginal tax rate

      Pension benefits upon death if paid as a pension to your beneficiary

      Age at date of payment

      Either you or the recipient are aged 60 or over when you die
      Both you and the recipient are aged under 60 when you die

      Tax on Tax free component

      Tax free
      Tax free

      Tax on Taxable Component

      Tax free
      Taxed at the recipients’ marginal tax rates less 15% tax offset

      Tax on lump sum withdrawals (commutations)

      If you’re aged 60 or over, there is no tax payable on your benefit.

      If you’re under age 60, there are different tax rates for lump sum payments depending on your age as shown below.

      The tax-free portion of a commutation is not taxed. Members cannot select to commute only a tax-free component: they will always be paid in the proportion established on joining. Any taxable component of a commutation for members under age 60 will be taxed at the concessional tax rate applicable to their age plus the Medicare levy.

      Age at date of payment or type of payment

      Age 60 and over
      From preservation age to 60

      Tax on Tax free component

      Tax free
      Tax free

      Tax on Taxable Component up to the low rate cap

      Tax free
      Tax free

      Tax on Taxable Component above the low rate cap

      Tax free
      Your marginal tax rate or 17% (15% plus 2% Medicare levy whichever is lower)

      Low rate cap

      The low rate cap amount is the limit set on the amount of taxable components (taxed and untaxed elements) of a super lump sum that can receive a lower (or nil) rate of tax. It applies to members that have reached their preservation age but are below 60 years.

      It is a lifetime cap which is reduced by any amount previously applied to the low rate threshold. If you’re under

      The low rate cap amount is indexed in line with AWOTE, in increments of $5,000 (rounded down). The new indexed amount is generally available each February.

      The low rate caps are shown in the table below.

      FINANCIAL YEAR

      2023-24
      2022–23
      2021–22
      2020–21
      2019–20
      2018–19

      AMOUNT OF CAP

      $235,000
      $230,000
      $225,000
      $215,000
      $210,000
      $205,000

      Tax on death benefits

      The tax on a death benefit depends on:

      • whether you were a dependant of the deceased under taxation law
      • whether it is paid as a lump sum or income stream
      • whether the super is tax-free or taxable
      • your age and the age of the deceased person when they died (for income streams / pension)

      The two tables below provides a guide on tax for a dependant of the deceased and an individual who is not a dependant of the deceased.

      Table 1: Super death benefits paid to dependants (as defined for tax purposes)

      Age of deceased

      Any age
      Aged 60 and above
      Below age 60
      Below age 60

      Super death benefit

      Lump sum
      Income stream
      Income stream
      Income stream

      Age of recipient

      Any age
      Any age
      Above age 60
      Below age 60

      Taxation

      Tax-free component (not assessable and not exempt income).
      Taxable component – element taxed in the fund is tax-free (not assessable and not exempt income).
      Taxable component – element taxed in the fund is tax-free (not assessable and not exempt income).
      Taxable component – element taxed in the fund is assessable income and the person is entitled to a tax offset equal to 15% of that amount.

      Table 2: Super death benefits paid to non-dependants (as defined for tax purposes)

      Age of deceased

      Any age
      Any age

      Super death benefit

      Lump sum
      Income stream

      Age of recipient

      Any age
      Any age

      Taxation

      Taxable component – element taxed in the fund is assessable income but a tax offset ensures the rate of tax does not exceed 15%.
      Not applicable.
      Super income stream benefits that commenced before 1 July 2007 will be taxed as if received by a dependant.

      Departing Australia superannuation payment (DASP)

      The DASP tax rates that apply from payments made from 1 July 2017 are shown in the table below.

      In December 2016, the Australian Government introduced a new DASP tax rate for working holiday makers (WHMs). This change is related to the new income tax rate for working holiday makers.

      You are a WHM if you hold one of the following visas:

      • 417 (Working Holiday) visa
      • 462 (Work and Holiday) visa
      • associated bridging visa.

      From 1 July 2017, the new DASP WHM tax rate of 65% applies to DASPs made to WHMs where it includes amounts attributable to superannuation contributions made under a WHM visa.

      It doesn’t matter when you held a WHM visa. The DASP WHM tax rate will apply if you have ever held a 417 or 462 and associated bridging visas and the DASP includes amounts attributable to super contributions made while you held the relevant visa.

      The DASP WHM tax rate applies to the entire payment, including any super you may have earned while working under a different visa.

      Component

      Tax free component
      Taxed component – taxed element
      Taxable component - untaxed element

      DASP ordinary tax rate (for non-WHM)

      Nil
      35%
      45%

      DASP WHM tax rate

      Nil
      65%
      45%

      Downsizer Contribution

      If you are 55 or older, you may be able to contribute up to $300,000 from the proceeds of the sale (or part sale) of your home into your superannuation fund.

      A downsizer contribution is a non-concessional contribution, but it doesn’t count towards the contribution cap. It will not affect your total superannuation balance until it is re-calculated at the end of the financial year.

      Downsizer contributions count towards your transfer balance cap. This cap applies when you move your super savings into retirement phase, and is considered in determining eligibility for the age pension.

      You should consider seeking independent financial advice in relation to the age pension asset tests.

      Eligibility

      You must meet the following eligibility conditions:

      • You have reached the eligible age (and there is no maximum age limit) at the time you make a downsizer contribution (from 1 January 2023, 55 years or older, from 1 July 2022, 60 years or older, from 1 July 2018, 65 years or older).
      • Your home was owned by you or your spouse for 10 years or more before the sale – the ownership period is generally calculated from the date of settlement of purchase to the date of settlement of sale.
      • Your home is in Australia and is not a caravan, houseboat, or other mobile home.
      • The proceeds (capital gain or loss) from the sale of the home are either exempt or partially exempt from capital gains tax (CGT) under the main residence exemption, or the home would be entitled to the exemption if it was a CGT rather than a pre-CGT asset (acquired before 20 September 1985).
      • You make your downsizer contribution within 90 days of receiving the proceeds of sale (usually at the date of settlement).
      • You have not previously made a downsizer contribution to your super from the sale of another home or from the part sale of your home.
      • You provide your super fund with the Downsizer contribution into super form either before or at the time of making your downsizer contribution.

      Downsizer Maximum

      You can make a downsizer contribution up to a maximum of $300,000 (each spouse), but the contribution amount can’t be greater than the total proceeds from the sale of your home.

      First Home Super Saver (FHSS) Scheme

      The first home super saver (FHSS) scheme allows you to save money for your first home inside your super fund. This will help first home buyers save faster with the concessional tax treatment of super.

      Component

      Maximum voluntary contributions from any one financial year included in your eligible contributions to be released under the FHSS scheme
      Eligible contributions across all years

      From 1/7/2018

      $15,000
      $30,000

      From 1/7/2022

      $15,000
      $50,000

      For more details on the FHSS Scheme and eligibility conditions, visit the ATO website.

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