If you earn less than $56,112 in the 2021-22 financial year you could be eligible for a government co-contribution of up to $500 when you make a personal after-tax contribution.
The co-contribution scheme means that, for every dollar you put into super from your after-tax pay, the government may match it with up to 50 cents for up to $500.
The best part about it? You don’t have to fill in a single form beyond lodging an annual tax return.
If you qualify for the co-contribution, the ATO will do the heavy lifting and make sure payments are made to your super fund automatically.
Government policies can change regularly, so consider acting now while the scheme is still around.
Who can receive a co-contribution?
If you are a low or middle-income earner and make personal (after-tax) contributions to your super, you may also qualify for the government’s co-contribution up to a maximum amount of $500. You may be eligible for a co-contribution if you:
- earn less than $56,112 before tax, including assessable income
- earn 10% or more of that income from employment or self-employment
- have not exceeded the total superannuation balance of $1.7m (at the start of the financial year) or the after-tax contributions cap
- are a permanent resident of Australia for the full 2021-22 financial year
- lodge a tax return for the 2021-22 financial year
- are less than 71 years of age at the end of the 2021-22 financial year; and
- satisfy the work test if you are 67 years of age or more (which means you would have worked a minimum of 40 hours within 30 consecutive days in the financial year you make the contribution) or meet the work test exemption.
The good news is you don't need to apply. Once you have made your contribution, all you have to do is lodge your tax return for the financial year. If you're eligible and we have your tax file number (TFN) the Australian Tax Office will credit the co-contribution to your super account automatically.
Please note, to accept your contributions, we must have your TFN linked to your account. If you believe we may not have your TFN, you can provide it to us by calling us on 1300 650 873 Monday to Friday, 8:30am – 6:00pm (AEST/AEDT).
How to make your contribution
To be eligible to receive your government co-contribution for this financial year, you’ll need to make a personal contribution to your account. The quickest and easiest way to do this is via BPAY, but you can also EFT your contribution or set up a direct debit.
Ways to pay
The award-winning Aware Super app has been designed by members, for members and is available now. You can use the mobile app to make a one-off contribution or consolidate your super. If you don’t have the app – you can learn more about it and download the app:
Don’t forget, the government sets limits on how much you can contribute
The cap on after-tax (non-concessional) contributions is $110,000 (across all your super funds) per year if you have a total super balance of less than $1.7 million as at 30 June of the previous financial year.
If you are under age 67 and with a total super balance of less than $1.7 million on 30 June of the previous financial year, you can bring forward up to two years of future entitlements. This is equivalent to a cap of up to $330,000 (across all your super funds) over three years.
Amounts over these caps are known as excess after-tax (non-concessional) contributions. If you exceed the cap, additional tax may apply to you.
How much could you receive?
The maximum amount you could receive from the government is $500, depending on your income.
For every dollar you earn over $41,112 the co-contribution amount decreases until it cuts out at $56,112
This table shows you how much you can expect to receive based on your salary and contribution amount for the 2021-22 financial year.
| If you earn... | The maximum you could receive is… | By contributing… |
|---|---|---|
| $41,112 or less | $500 | $1000 |
| $44,112 | $400 | $800 |
| $47,112 | $300 | $600 |
| $50,112 | $200 | $400 |
| $53,112 | $100 | $200 |
| $56,112 | $0 | $0 |
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